Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required:Calculate Via Gelato revenue and spending variances for June. (Indicate the effect of each variance by selecting F for favorable, U for unfavorable, and None

Required:Calculate Via Gelato revenue and spending variances for June. (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.)

image text in transcribed
Check my work 2 Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: 3.33 Fixed Element Variable Element Actual Total points per Month per Liter for June Revenue $ 14 . 00 $ 83 , 540 Raw materials $ 4. 85 31 , 430 eBook Wages $ 5, 800 $ 1 . 60 15 , 800 Utilities $ 1, 830 0 . 40 4, 500 References Rent $ 2, 800 2 , 800 Insurance 1, 550 Miscellaneous S 1, 550 670 $ 0.55 4 , 050 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $5,800 plus $1.60 per liter of gelato sold and the actual wages for June were $15,800. Via Gelato expected to sell 6,200 liters in June, but actually sold 6,400 liters. Required: Calculate Via Gelato revenue and spending variances for June. (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.)

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

Financial Statement Analysis And Security Valuation

Authors: Stephen H Penman

4th Edition

0073379662, 9780073379661

More Books

Students also viewed these Accounting questions

Question

1. Too understand personal motivation.

Answered: 1 week ago