Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

per Month Job Revenue Technician wages office expenses $276 $8,100 for February $33,130 $7,950 Mobile lab operating expenses $ 4,700 $ 35 $ 9,090

image text in transcribed

per Month Job Revenue Technician wages office expenses $276 $8,100 for February $33,130 $7,950 Mobile lab operating expenses $ 4,700 $ 35 $ 9,090 $2,600 $ 3 $ 2,840 Advertising expenses $1,570 $1,640 Insurance Miscellaneous expenses $ 2,880 $970 $ 2,880 $ 2 $535 The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,700 plus $35 per job, and the actual mobile lab operating expenses for February were $9,090. The company expected to work 130 jobs in February, but actually worked 134 jobs. Required: Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity variances for February (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.) AirQual Test Corporation Flexible Budget Performance Report For the Month Ended February 28 Actual Results Jobs 134 Revenue $ 33,130 Expenses Technician wages 7.950 Mobile lab operating expenses 9,090 2,840 Office expenses Advertising expenses 1,640 Insurance 2,880 Miscellaneous expenses Total expense Net operating income 535 24.935 $ 8.195 Flexible Planning Budget Budget

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Accounting A Managerial Emphasis

Authors: Charles T. Horngren, Srikant M. Datar, Madhav V. Rajan

15th edition

978-0133428858, 133428850, 133428702, 978-0133428704

More Books

Students also viewed these Accounting questions