Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

TipTop Flight School offers flying lessons at a small municipal airport. The school's owner and manager has been attempting to evaluate performance and control costs

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
TipTop Flight School offers flying lessons at a small municipal airport. The school's owner and manager has been attempting to evaluate performance and control costs using a variance report that compares the planning budget to actual results A recent variance report appears below: TipTop Filent School Varlance Report For the month Ended July 31 Actual Planning tutt Variances Lessons 140 135 Revenue 53,430 5.40 $1,020 Expenses: Instructor was 6,875 125 Aircraft depreciation 5,00 Fuel 4,00 180 3,165 Maintenance 6220 2.195 2.720 Ground facility expenses 1250 1.95 2.022 70 Anistration 3.455 1.335 10 Totale NU It sperating Incom 510.00 9.5 10 2,565 After several months of using these reports, the owner has become frustrated. For example, the quite confident that instructor wages were very lightly controled in July, but the report shows an unfavorablerance The planning budget was developed using the following forms where is one of ons sok Caton Bever there to search 0 D E * 0 . 3 96 2 $ 4 5 6 & 7 00 9 0 E R T Y U O P S D G H K L A V B B N M 1 uits 2,350 190 Pinzas Deliveries Revenue Plura ingredients Kitches state Utilities Delivery person Delivery vehicle Equipment depreciation Rent Miscellaneous $ 11,50 5 6,310 $1,000 5 646 $ 1,052 5 584 5 2,3 928 Required: 1 Complete the flexible budget performance report that shows both revenue and spending variances and activity variances for the puzeria for November. Indicate the effect of each variance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effectie, Tere variancel. Input all amounts as positive values.) Actual Title Duge Performance Report For the oth Eober 30 Revenge and spending Fle Varances Pudet 2350 1991 Activity Variances Planning PG Des Budo 2.350 100 1 of 2 Next > are to search 0 2 0 46 + 23 + $ 4 96 3 5 6 & 7 00 9 w E R T Y U O P s D F G H C J K L V A B 2 N M work Revenue and Spending Variances Activity Variances get Piezas Deliveries 2 350 190 2,350 190 $ 52.48015 700 5 51,700 11,350 6.310 1.000 10,575 6.370 2.250 Revenue Expertes Plaza gredients Kan start US Delivery person Delivery vece Ement erection Rent Miscellaneous Tolome Net sperating income 645 1.032 645 7750 00F 1.250 F None 11 F One One 267 9151 16 1145 584 504 2.300 928 24.180 20.3001s 2.330 1195 5 5 Prev 1 of 2 Next > to search 4 $ 3 % 5 LO & 7 00 9 o E R T Y U O P D F G H J K L

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

Cost Accounting A Managerial Emphasis

Authors: Charles T. Horngren, George Foster, Srikant M. Datar, Howard D. Teall, Foster Horngren, Data Horngren

3rd Canadian Edition

0130355801, 978-0130355805

More Books

Students also viewed these Accounting questions