Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Sincell Corporation uses customers served as its measure of activity. During April, the company budgeted for 22,000 customers, but served 24,000 customers. The company uses

Sincell Corporation uses customers served as its measure of activity. During April, the company budgeted for 22,000 customers, but served 24,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served:

Revenue: $4.10q

Wages and salaries: $26,000 + $1.10q

Supplies: $0.70q

Insurance: $7,100

Miscellaneous expense: $3,400 + $0.30q

The company reported the following actual results for April:

Revenue

$

100,500

Wages and salaries

$

52,200

Supplies

$

18,100

Insurance

$

8,100

Miscellaneous expense

$

11,900

Required:

Prepare a report showing the company's revenue and spending variances for April.

Label each variance as favorable (F) or unfavorable (U).

* * * Please organize your answer with schedule * * *

* * * Please organize your answer with schedule * * *

* * * Please organize your answer with schedule * * *

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_2

Step: 3

blur-text-image_3

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

Handbook Of Energy Audits

Authors: Albert Thumann, William J. Younger

6th Edition

0824709985, 978-0824709983

More Books

Students also viewed these Accounting questions