Sheet Shesta Hi ! All wi li 11 If Sheet1 Sheet2 Sheet3 Assignment #3 Topic: BUDGETING This assignment can be completed in groups of two people or individually. Only one person in your group of two is to submit the assignme MARKS: Part A. /14 Part B. 1) /3 2) 127 3) Total 750 16 Worth 15% of Final Course Grade Assignment Questions: Part A. (14 MARKS) The following are projected revenues and expenses for ABC Charity projected for the Month of September, 2020 Expected Revenues $28,000 Monthly Rent 2.700 Advertising 4,000 Insurance Expense 1.500 Cost of Goods Sold of 45% of Revenues Sales Commissions of 8% of Revenues will be paid 1) Using the above data, complete the Projected Operating Budget in the table below. 2) Provide a flexible budget for the same projected period forecasting that revenues will be 25% higher than expected. 1) b) 2) ABC CHARITY ABC CHARITY Projected Operating Report Flexible Operating Report For the Month of September, 2020 For the Month of September, 2020 Revenue Variable Expenses Revenue Variable Expenses Total Variable Expenses Fixed Expenses Total Variable Expenses Fixed Expenses Total Fixed Expenses Net Income Total Fixed Expenses Net Income Part B. (36 MARKS) Tip Top Flight School offers flying lessons. The schools owner and manager has been attempting to evaluate performance and control costs using a variance report that compares the planning budget to actual result A recent variance report is shown below. The owner is frustrated, as she is quite confident that Instructor Wapes were very tightly controlled in July, but the report shows an unfavourable variance TipTop Fligh School Variance Report For the Month Ended July 31 Actual Results 155 Planning Badget 150 Variances of Lessons 33.900 33.000 900F Revenue Expenses Instructor Wapes Aircraft Depreciation Foel Maintenance Ground Facility Expenses Administration Total Expenses Net Operating Income 9.870 5.890 2.750 2450 1.540 3320 158 RONO 9.750 5,700 2.250 2.130 1.550 3.300 24920 XO 120 U 191U SOBU 120 U 10F 70F $50 SO The planning budget was developed using the following formulas where is the number of lessons old. Revenue Instructor Wages Aircraft Depreciation Fucl Maintenance Ground Facility Expenses Administration Cost Formulas $2204 $689 $389 $159 $330 + 5124 $1,250 $24 5.3.240.14 1) Should the owner feel frustrated with the variance reports? Explain. 2) Using the format provided below, prepare a flexible budget performance report for 3) Evaluate the school's performance for July. school for Jul TipTop Flight School Variance Report For the Month Ended July 31 Actual Results Revenge and Spending FR Favourable Variances Us Unfavourat Flexible Budget Activity Fis Favourable Variances Us Unfavourable of Lessons Revenue Espress Instructor Wages Aircran Depreciation Fuel Maintenance Ground Facility Expenses Administration Total Expenses Net Operating Income 4 2 Topic: BUDGETING 3 This assignment can be completed in groups of two people or individually Only one person in your group of two is to submit the assignment by email Copy 5 MARKS: 6 Part A. A4 7 Part B. 81) 13 9 2) /27 103) 16 11 Total 750 Worth 15% of Final Course Grade 12 13 Assignment Questions: 14 15 Part A. (14 MARKS) 16 The following are projected revenues and expenses for ABC Charity projected for the Month of September 2020 17 Expected Revenues $28,000 18 Monthly Rent 2,700 19 Advertising 4,000 20 Insurance Expense 1,500 21 Cost of Goods Sold of 450 of Revenues Sheet1 Sheet2 Sheeta + A B C D F 27 I) 20 Insurance Expense 1,500 21 Cost of Goods Sold of 45% of Revenues 22 Sales Commissions of 8% of Revenues will be paid 23 24 1) Using the above data, complete the Projected Operating Budget in the table below. 25 2) Provide a flexible budget for the same projected period forecasting that revenues will be 25% higher than expected. 26 2) 28 ABC CHARITY ABC CHARITY 29 Projected Operating Report Flexible Operating Report 30 For the Month of September, 2020 For the Month of September, 2020 31 32 Revenue Revenue s 33 Vanable Expenses Variable Expenses 34 IS 35 36 37 38 Total Variable Expenses Total Variable 39 Fixed Expenses Fixed Expenses: - 35 36 37 38 Total Variable Expenses 39 Fixed Expenses 40 Total Variable Fixed Expenses 41 42 43 44 Total Fixed Expenses Is Total Fixed Expenses 45 Net Income Is Net Income 46 47 48 49 Part B. (36 MARKS) 50 51 Tip Top Flight School offers flying lessons. The school's owner and manager has been attempting to evaluate 52 performance and control costs using a variance report that compares the planning budget to actual results. 53 A recent variance report is shown below. The owner is frustrated, as she is quite confident that Instructor Wages were very 54 tightly controlled in July, but the report shows an unfavourable variance. Sheet Shesta Hi ! All wi li 11 If Sheet1 Sheet2 Sheet3 Assignment #3 Topic: BUDGETING This assignment can be completed in groups of two people or individually. Only one person in your group of two is to submit the assignme MARKS: Part A. /14 Part B. 1) /3 2) 127 3) Total 750 16 Worth 15% of Final Course Grade Assignment Questions: Part A. (14 MARKS) The following are projected revenues and expenses for ABC Charity projected for the Month of September, 2020 Expected Revenues $28,000 Monthly Rent 2.700 Advertising 4,000 Insurance Expense 1.500 Cost of Goods Sold of 45% of Revenues Sales Commissions of 8% of Revenues will be paid 1) Using the above data, complete the Projected Operating Budget in the table below. 2) Provide a flexible budget for the same projected period forecasting that revenues will be 25% higher than expected. 1) b) 2) ABC CHARITY ABC CHARITY Projected Operating Report Flexible Operating Report For the Month of September, 2020 For the Month of September, 2020 Revenue Variable Expenses Revenue Variable Expenses Total Variable Expenses Fixed Expenses Total Variable Expenses Fixed Expenses Total Fixed Expenses Net Income Total Fixed Expenses Net Income Part B. (36 MARKS) Tip Top Flight School offers flying lessons. The schools owner and manager has been attempting to evaluate performance and control costs using a variance report that compares the planning budget to actual result A recent variance report is shown below. The owner is frustrated, as she is quite confident that Instructor Wapes were very tightly controlled in July, but the report shows an unfavourable variance TipTop Fligh School Variance Report For the Month Ended July 31 Actual Results 155 Planning Badget 150 Variances of Lessons 33.900 33.000 900F Revenue Expenses Instructor Wapes Aircraft Depreciation Foel Maintenance Ground Facility Expenses Administration Total Expenses Net Operating Income 9.870 5.890 2.750 2450 1.540 3320 158 RONO 9.750 5,700 2.250 2.130 1.550 3.300 24920 XO 120 U 191U SOBU 120 U 10F 70F $50 SO The planning budget was developed using the following formulas where is the number of lessons old. Revenue Instructor Wages Aircraft Depreciation Fucl Maintenance Ground Facility Expenses Administration Cost Formulas $2204 $689 $389 $159 $330 + 5124 $1,250 $24 5.3.240.14 1) Should the owner feel frustrated with the variance reports? Explain. 2) Using the format provided below, prepare a flexible budget performance report for 3) Evaluate the school's performance for July. school for Jul TipTop Flight School Variance Report For the Month Ended July 31 Actual Results Revenge and Spending FR Favourable Variances Us Unfavourat Flexible Budget Activity Fis Favourable Variances Us Unfavourable of Lessons Revenue Espress Instructor Wages Aircran Depreciation Fuel Maintenance Ground Facility Expenses Administration Total Expenses Net Operating Income 4 2 Topic: BUDGETING 3 This assignment can be completed in groups of two people or individually Only one person in your group of two is to submit the assignment by email Copy 5 MARKS: 6 Part A. A4 7 Part B. 81) 13 9 2) /27 103) 16 11 Total 750 Worth 15% of Final Course Grade 12 13 Assignment Questions: 14 15 Part A. (14 MARKS) 16 The following are projected revenues and expenses for ABC Charity projected for the Month of September 2020 17 Expected Revenues $28,000 18 Monthly Rent 2,700 19 Advertising 4,000 20 Insurance Expense 1,500 21 Cost of Goods Sold of 450 of Revenues Sheet1 Sheet2 Sheeta + A B C D F 27 I) 20 Insurance Expense 1,500 21 Cost of Goods Sold of 45% of Revenues 22 Sales Commissions of 8% of Revenues will be paid 23 24 1) Using the above data, complete the Projected Operating Budget in the table below. 25 2) Provide a flexible budget for the same projected period forecasting that revenues will be 25% higher than expected. 26 2) 28 ABC CHARITY ABC CHARITY 29 Projected Operating Report Flexible Operating Report 30 For the Month of September, 2020 For the Month of September, 2020 31 32 Revenue Revenue s 33 Vanable Expenses Variable Expenses 34 IS 35 36 37 38 Total Variable Expenses Total Variable 39 Fixed Expenses Fixed Expenses: - 35 36 37 38 Total Variable Expenses 39 Fixed Expenses 40 Total Variable Fixed Expenses 41 42 43 44 Total Fixed Expenses Is Total Fixed Expenses 45 Net Income Is Net Income 46 47 48 49 Part B. (36 MARKS) 50 51 Tip Top Flight School offers flying lessons. The school's owner and manager has been attempting to evaluate 52 performance and control costs using a variance report that compares the planning budget to actual results. 53 A recent variance report is shown below. The owner is frustrated, as she is quite confident that Instructor Wages were very 54 tightly controlled in July, but the report shows an unfavourable variance