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Novak Company is a newly formed company specializing in high-speed Internet service for home and business. The owner, Lenny Kirkland, divided the company into two

Novak Company is a newly formed company specializing in high-speed Internet service for home and business. The owner, Lenny Kirkland, divided the company into two segments: Home Internet Service and Business Internet Service. Each segment is run by its own supervisor, while basic selling and administrative services are shared by both segments. Lenny has asked you to help him create a performance reporting system that will allow him to measure each segment's performance in terms of its profitability. To that end, the following information has been collected on the Home Internet Service segment for the first quarter of 2022. Budgeted Actual Service revenue $32,500 $34,060 Allocated portion of: Building depreciation 14,300 14,300 Advertising 6,500 5,460 Billing 4,550 3,900 Property taxes 1,560 1,300 Material and supplies 2,080 1,560 Supervisory salaries 11,700 12,350 Insurance 5,200 5,070 Wages 3,900 4,225 Gas and oil 3,640 4,420 Equipment depreciation 1,950 1,690 Prepare a responsibility report for the first quarter of 2022 for the Home Internet Service Segment. Prepare a responsibility report for the first quarter of 2022 for the Home Internet Service Segment. NOVAK COMPANY Home Internet Service Segment Responsibility Report > > Budgeted $ $ Actual $ $ $ Difference Favorable Unfavorable Neither Favorable nor Unfavorable

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