Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please do only part 2 as a table for excel and i post this question twice i got wrong asnwer please before to do look

please do only part 2 as a table for excel and i post this question twice i got wrong asnwer please before to do look what i need. DO ONLY PART 2 AS EXCEL TABLE FORMAT. thanks
image text in transcribed
7-28 Variance analysis, non-manufacturing setting. Stevie McQueen has run Lightning Car Detailing employee who has been with him for all 10 years that he has been in business. He has not been as lucky with for the past 10 years. His static-budget and actual results for June are provided below. Stevie has one his second and third employees. Stevie is hiring new employees in those positions almost every second month. It usually takes 2 hours to detail a vehicle. It takes as long for the seasoned employee as for the new ones, as the former tends to put more into the job. Stevie pays his long-term employee $20 per hour and the other two employees S10 per how Stevie pays all employees for 2 hours of work on each car, regardless of how long the work actually takes them. There were no wage increases in June. Lightning Car Detailing Actual and Budgeted Statement of Comprehensive Income For the Month Ending June 30 Budget Actual Cars detailed 200 225 Revenue $30,000 $39,375 Variable costs: Costs of supplies 1,500 2,250 Labour 5,600 6,000 Total variable costs 7,100 8,250 Contribution margin 22,900 31,125 Fixed costs 9,500 9,500 Operating income $13,400 $21,625 Required 2 Compute any flexible-budget variances that you believe would be appropriate. 3. What information, in addition to that provided in the statements of comprehensive income, would you want Stevie to gather if you wanted to improve operational efficiency? 4. How many cars, on average, did Stevie budget for each employee? How many cars did they actually detail? 3. What advice would you give Stevie about motivating his employees

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_2

Step: 3

blur-text-image_3

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

Gleim CIA Review Part 2 Practice Of Internal Auditing

Authors: Irvin N. Gleim

2020 Edition

1618542648, 978-1618542649

More Books

Students also viewed these Accounting questions