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stuck in this please solve 6. Monts'a Lounge is the most popular Lounge in Botha-Buthe Districts. As, usual, at the beginning of each period as
stuck in this please solve
6. Monts'a Lounge is the most popular Lounge in Botha-Buthe Districts. As, usual, at the beginning of each period as part of planning, budget is prepared. Accountant has been requested to prepare a flexible budget for at least 4 different occupancy level. The following is a flexed budget prepared by an Accountant; No. of guests per period Food and Beverage costs 43,200 guests 54,000 guests 72,000 guests Room refreshments Staff costs Administrative Costs Outsourced service Costs M864,000 M432,000 M1,080,000 M540,000 M1,440,000 M720,000 M4,160,000 M4,700,000 M5,600,000 M1,000,000 M1,000,000 M1,000,000 M50,000 M100,000 M100,000 Outsourced service is a security services (guards and appliances like cameras). The service company charge M50,000 for guest less than 50,000 and doubles the amount for guests above 50,000. Required; a) Analyse the costs above and state whether they are variable or fixed. (8 Marks) b) Prepare a flexible budget using 84,000 guests as level of Activity. (6 Marks) c) Explain and differentiate three budgeting methods. (6 Marks)
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