Question
parker company farms and sells shrimp beds in the Pacific Northwest. The company harvested and sold 7,700 pounds of shrimp in August. The companys flexible
parker company farms and sells shrimp beds in the Pacific Northwest. The company harvested and sold 7,700 pounds of shrimp in August. The companys flexible budget for August appears below:
parker company | |
Flexible Budget | |
For the Month Ended August 31 | |
Actual pounds (q) | 7,700 |
---|---|
Revenue ($4.15q) | $ 31,955 |
Expenses: | |
Packing supplies ($0.35q) | 2,695 |
bed maintenance ($3,100) | 3,100 |
Wages and salaries ($2,200 + $0.30q) | 4,510 |
Shipping ($0.65q) | 5,005 |
Utilities ($1,270) | 1,270 |
Other ($480 + $0.01q) | 557 |
Total expense | 17,137 |
Net operating income | $ 14,818 |
The actual results for August appear below:
parker company | |
Income Statement | |
For the Month Ended August 31 | |
Actual pounds | 7,700 |
---|---|
Revenue | $ 26,600 |
Expenses: | |
Packing supplies | 2,865 |
bed maintenance | 2,960 |
Wages and salaries | 4,920 |
Shipping | 4,735 |
Utilities | 1,080 |
Other | 1,177 |
Total expense | 17,737 |
Net operating income | $ 8,863 |
Required:
Calculate the companys revenue and spending variances for August. (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.)
Need help figuring out the these BELOW please
Revenue and Spending Variances
For the Month Ended August 31
revenue | ||
expenses: | ||
packing supplies | ||
bed maintenance | ||
wages and salaries | ||
shipping | ||
utilities | ||
other | ||
total expense | ||
net operating income |
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