Question 2: One subunit of Boxing Sports Company had the following financial results last month: Flexible Budget Variance Variance For U) or U) Actual Results Flexible Budget $ 474,000 $ 455,000 262.000 255 000 Subunit X Net Sales Revenue Variable Expenses Contribution Margin Traceable Fbud Expenses Divisional Segment Margin 212 000 39.000 200 000 28.000 172.000 173.000 $ 1. Complete the performance evaluation report for the subunit fround to two decimal places) 2. Based on the data presented and your knowledge of the company, what type of responsibility center is the subunit? 3. Which items should be investigated part of management's decision criteria is to investigate all variances equal to or exceeding 55 000 and exceeding 10% (both criteria must be met? 4. Should only unfavorable vacances be investigated? Explain 5. Is possible that the variances are due to a higher-than-expected sales volume? Explain 6. Will management place equal weight on each of the variances exceeding $5.000? Explain 7. Wirich balanced Scorecard perspective is being addressed through this performance report in your opinion is this performance report a leadora lag Indicator? Explain 8 Listone key performance Indicator for the three other balanced Scorecard perspectives Make sure to indicate which perspective is being addressed by the indicators you list Requirement 1. Complete the performance evaluation report for the subunit. (Enter a variance for each account as a positive number and select whether the variance is favorable or unfavorable. Enter the variance percent as a percentage rounded to two decimal places, XXX%) Actual Flexible Flexible Budget % Variance Subunit x Results Budget Variance (For U) (For U) Net Sales Revenue $ 474,000 $ 455 000 Variable Expenses 262.000 255.000 % Contribution Margin $ 212,000 5 200.000 3 Traceable Fired Expenses 39,000 28.000 $ 173,000 $ 172.000 Divisional Segment Margin Requirement 2. Based on the data presented and your knowledge of the company, what type of responsibility center is this subunit? This performance report includes therefore this subunit must be a cost both revenue and cost data only cost data only revenue data an investment center a profit Center revue center Requirement 3. Which items should be investigated if part of management's decision criteria is to investigate all variances equal to or exceeding $5,000 and exceeding 10% (both criteria must be met)? Management should investigate the following(If an input field is not used in the table, leave the input field empty Contebution margin Natas Traceable fed expenses Variable Requirement 4. Should only unfavorable variances be investigated? Explain Managemene Frances turto only tvorale ortance indicates prepared mycosengat mga restroom Requirement 5. Is it possible that the variances are due to a higher-than-expected sales volume? Explain The Requirement 6. Will management place equal weight on each of the variances exceeding 55,000? Explain. 16 000 . 4 agen ho Requirement 7. Which balanced Scorecard perspective is being addressed through this performance report? In your opinion, is this performance report a lead or a lag indicator? Explain. Requirement 8. List one key performance indicator for the three other balanced Scorecard perspectives. Make sure to indicate which perspective is being addressed by the indicators you list Complete the following table to identify one key performance indicator for the three other balanced Scorecard perspectives Balanced scorecard Key performance customer continge perspective Indicator Customer perspective hours spent training engles Financial perspective number of new product developed Intamal business perspective movement Learning and growth perspective case
