P7-35 (similar to) Question Help (Click the icon to view the employee information.) Jennifer Barger has run Helping Hand Maids, a specialty cleaning service for medical and dental offices, for the past 10 years. Her static budget and actual results for April 2017 are shown below. (Click the icon to view the actual and budgeted income statements.) Read the requirements. Requirement 1. How many offices, on average, did Barger budget for each employee? How many offices did each employee actually clean? Determine the formula to show how many offices, on average, the employees cleaned. (X = number of offices cleaned by experienced employee, Y = number of offices cleaned by both less experienced employees) (Click the icon for information regarding the formula selections.) i Formula labels i ) + ( Requirements X Y Data Table 1. 2. 3. A Contribution margin B Labor costs C Operating income D Revenue E Wage paid to experienced employee per office F Wage paid to less experienced employees per office How many offices, on average, did Barger budget for each employee? How many cars did each employee actually detail? Prepare a flexible budget for April 2017. Compute the sales price variance and the labor efficiency variance for each labor type. What information, in addition to that provided in the income statements, would you want Barger to gather, if you wanted to improve operational efficiency? Helping Hand Maids 4. Actual and Budgeted Income Statements For the Month Ended April 30, 2017 Budget Actual 280 320 Print Offices cleaned Done Print Done $ Revenue 47,600 $ 64,000 Variable costs: Costs of supplies 1,260 6,720 2,035 8,400 Labor Total variable costs 7,980 10,435 Contribution margin 39,620 9,800 53,565 9,800 Fixed costs $ 29,820 $ 43,765 Operating income a P7-35 (similar to) Question Help (Click the icon to view the employee information.) Jennifer Barger has run Helping Hand Maids, a specialty cleaning service for medical and dental offices, for the past 10 years. Her static budget and actual results for April 2017 are shown below. (Click the icon to view the actual and budgeted income statements.) Read the requirements. Requirement 1. How many offices, on average, did Barger budget for each employee? How many offices did each employee actually clean? Determine the formula to show how many offices, on average, the employees cleaned. (X = number of offices cleaned by experienced employee, Y = number of offices cleaned by both less experienced employees) (Click the icon for information regarding the formula selections.) i Formula labels i ) + ( Requirements X Y Data Table 1. 2. 3. A Contribution margin B Labor costs C Operating income D Revenue E Wage paid to experienced employee per office F Wage paid to less experienced employees per office How many offices, on average, did Barger budget for each employee? How many cars did each employee actually detail? Prepare a flexible budget for April 2017. Compute the sales price variance and the labor efficiency variance for each labor type. What information, in addition to that provided in the income statements, would you want Barger to gather, if you wanted to improve operational efficiency? Helping Hand Maids 4. Actual and Budgeted Income Statements For the Month Ended April 30, 2017 Budget Actual 280 320 Print Offices cleaned Done Print Done $ Revenue 47,600 $ 64,000 Variable costs: Costs of supplies 1,260 6,720 2,035 8,400 Labor Total variable costs 7,980 10,435 Contribution margin 39,620 9,800 53,565 9,800 Fixed costs $ 29,820 $ 43,765 Operating income a
