Questions 1 :

Conduct a variance analysis on your event budget/actual results

Explain the impact of the variances on profitability

Provide reasons for why the variances occurred

Suggest recommendations for how to address similar issues in the future

Use template to calculate the variance analysis and profitability impact

explain the profitability impact, reasons for the variances and recommendation

.Use the table to answer questions., and use the variance analysis needs to address the following variances:

1.Sales variances(Level 1 and 2) :

Level 1 of Analysis: Master Budget Variance; Level 2 of Analysis: Flexible Budget Variance & Sales Volume Variance

2.Beverage expense variances (Main drink) (Level 1, 2, & and 3):

Level 1 of Analysis: Master Budget Variance; . Level 2 of Analysis: Flexible Budget Variance; Level 3 of Analysis: Direct Material Price& Efficiency Variance

3.Food expense variance (Main ingredient of the meal served) (Level 1, 2, and 3)

Level 1: 1. Level of Analysis: Master Budget Variance; . Level 2 of Analysis: Flexible Budget Variance; Level 3 of Analysis: Direct Material Price& Efficiency Variance

Analysis each level of each varaince

A B C D E Event Planning Worksheet Event Time 15:00 Date 7/4/21 AWN Event Purpose Wedding 7 Category Actual Results Projected/ Budget Revenue Unit Measures Unit Measures Registration fee per attendee 140.00 |$/guest 150.00 $/guest No. of attendees 112 guests 140 people 11 SUBTOTALS $ 15,680.00 5 21,000.00 12 Food/ Beverage COST 13 Beverage - 2014 Estate Pinot Noir Levantine Hill, Yarra Valley 14 Number of drinks served per attendee 2 glasses 4 glasses 15 Number of total drinks served during the event 224 glasses 560 glasses 16 |Quantity per glass 140 ml/Glass 150 ml/ Glass 17 Cost per litre from supplier 75.00 per litre 30.00 per litre SUBTOTALS $ 2,352.00 5 7,560.00 19 Food - Barn raised, grain fed smoked duck breast 20 Number of meals served 112 meal 140 meals 21 Quantity per meal 100 grams 3301 SweJE 22 Cost per kg 49.9 per ke 55.00 per k 23 SUBTOTALS $ 2,239.55 2,541.00 24 25 Income - Description 26 Registration Revenue 15,680.00 21,000.00 27 DIRECT COSTS - Cost of Sales (VC) 28 Beverages - Main ingredient costs S 2,352.00 7,560.00 29 Food - Main ingredient 2,239.55 S 2,541.00 30 Gross Profit 11,088.45 S 10,899.00Following tables must be used for the Calculations and copied into your A2 report Revenue Actual Result Flexible budget Master Budget Sales Revenue (in $) $15,680.00| $ 16,800.00 | $ 21,000.00 2. Level of Analysis: Flexible Budget Variance & Sales Volume Variance -1120 $ 4,200.00 1. Level of Analysis: Master Budget Variance -5320 Beverage ( Drink) Actual Result Inbetweener Flexible budget Master Budget Beverage Expenses (in $)| $ 2,352.00 | $ 2,822.40 | $ 6,048.00 $ 7,560.00 3. Level of Analysis: Direct Material Price & Efficiency Variance 470.4 3225.6 2. Level of Analysis: Flexible Budget Variance -3696 1. Level of Analysis: Master Budget Variance -5208 Food (Main Ingredient) Actual Result Inbetweener Flexible budget Master Budget Food Expenses (in $) S 2,239.55 2,464.00 S 2,032.80 2,541.00 3. Level of Analysis: Direct Material Price & Efficiency Variance 224.45 | $ 431.20 2. Level of Analysis: Flexible Budget Variance 206.75 1. Level of Analysis: Master Budget Variance 301.45