Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help with both questions! thank you!! will leave good feedback Flight Caf prepares in-flight meals for airlines in its kitchen located next to a

please help with both questions! thank you!! will leave good feedback image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport. The company's planning budget for July appears below: Flight Cafe Planning Budget For the Month Ended July 31 Budgeted meals (9) 28,000 $114.800 Revenue ($4.109) Expenses : Raw materials ($2.309) Wages and salaries ($6,400 + 50.209) Utilities ($1,800 + $0.059) Facility rent ($3,700) Insurance ($2,800) Miscellaneous ($900 + $0.109) Total expense Net operating income 64,400 12,000 3,200 3,700 2.800 3.700 39,800 $ 25,000 - In July, 29,000 meals were actually served. The company's flexible budget for this level of activity appears below: Flight Caf Plexible Budget For the Month Ended July 31 Budgeted meals (9) 29,000 $118.900 Revenue ($4.100) Expenses: Raw materials ($2.300) Wages and salaries ($6,400+ $0.209) Utilities ($1,800 + $0.059) Facility rent ($3,700) Insurance ($2,800) Miscellaneous ($900 + $0.109) Total expense Net operating income 66,700 12,200 3,250 3,700 2,800 3.800 92.450 $ 26,450 Flight Caf Activity Variances For the Month Ended July 31 Revenue Expenses: Raw materials Wages and salaries Utilities Facility rent Insurance Miscellaneous Total expense Net operating income Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7100 pounds of oysters in August The company's flexible budget for August appears below: Quilcene Oysteria Flexible Budget For the Month Ended August 31 Actual pounds (9) 7,100 $ 29,820 Revenue ($4.209) Expenses: Packing supplies ($0.25) Oyster bed maintenance ($3,100) Wages and salaries ($2,200 + $0.259) Shipping ($0.659) Utilities ($1,210) Other ($400 + $0.019) Total expense Net operating income 1,775 3,100 3,975 4,615 1,210 471 15, 146 $ 14,674 The actual results for August appear below: Quilcene Oysteria Income Statement For the Month Ended August 31 Actual pounds 7,100 $ 26,500 Revenue Expenses: Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other Total expense Net operating Income 1,945 2,960 4,385 4,345 1,020 1,091 15.246 $ 10,754 Required: Calculate the company's 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.) Quilcene Oysteria Revenue and Spending Variances For the Month Ended August 31 Revenue Expenses: Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other Total expense Net operating income

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

Managerial Accounting

Authors: Ray Garrison, Eric Noreen, Peter Brewer

16th edition

1259307417, 978-1260153132, 1260153134, 978-1259307416

More Books

Students also viewed these Accounting questions