The Flexible Budget Provides a better comparison than the static Quick Check Larry's Flexible Budget Compared with the Actual Results Larry's Lawn Service For the Month Ended June 30 What should the total expenses be in a Revenue and flexible budget for 600 lawns? Revenue/Cost Flexible Actual Spending Formulas Budget Results Variances a. $41,250 Number of lawns (Q) 550 550 b. $34,900 Revenue ($75Q) 41.250 43,000 1,750 F Expenses: c. $32,500 Wages and salaries ($5,000 + $30Q) $ 21,500 23,500 2,000 U Gasoline and supplies ($90) 4,950 5,100 150 U d. $36,700 Equipment maintenance ($3Q) 1,650 1,300 350 F Office and shop utilities ($1,000) 1,000 950 50 F Office and shop rent ($2,000) 2,000 2,000 Equipment Depreciation ($2,500) 2,500 2,500 Insurance ($1,000) 1,000 1.200 200 U Total expenses 34,600 36,550 1,950 U Net operating income 6,650 6,450 200 U 45 46