Question
Milano Pizza is a small neighborhood pizzeria that has a small area for in-store dining as well as offering take-out and free home delivery services.
Milano Pizza is a small neighborhood pizzeria that has a small area for in-store dining as well as offering take-out and free home delivery services. The pizzerias owner has determined that the shop has two major cost driversthe number of pizzas sold and the number of deliveries made. Data concerning the pizzerias costs appear below:
| Fixed Cost per Month | Cost per Pizza | Cost per Delivery | ||||
| Pizza ingredients | $ | 4.60 | ||||
| Kitchen staff | $ | 5,950 | ||||
| Utilities | $ | 630 | $ | 0.50 | ||
| Delivery person | $ | 3.30 | ||||
| Delivery vehicle | $ | 650 | $ | 1.70 | ||
| Equipment depreciation | $ | 416 | ||||
| Rent | $ | 1,910 | ||||
| Miscellaneous | $ | 750 | $ | 0.25 | ||
| In November, the pizzeria budgeted for 1,620 pizzas at an average selling price of $17 per pizza and for 240 deliveries. | |||||||||||||||||||||||||||||||||||||
| Data concerning the pizzerias operations in November appear below:
| |||||||||||||||||||||||||||||||||||||
| Required: |
| 1. | Compute the revenue and spending variances for the pizzeria for November. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)
**Could you please show your work? thanks |
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The Access Audit Handbook An Inclusive Approach To Auditing Buildings
Authors: Centre For Accessible Environments
3rd Edition
1914124839, 978-1914124839
