Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Vulcan Flyovers offers scenic overflights of Mount St. Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in

image text in transcribed

Vulcan Flyovers offers scenic overflights of Mount St. Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results 54 Flexible Planning Budget Budget 54 52 Flights (9) $ 16,100 $ 18,630 $ 17,940 Revenue ($345.009) Expenses : Wages and salaries ($3,700 + $92.00) Fuel ($33.00) Airport fees ($820 + $35.00) Aircraft depreciation ($8.009) Office expenses ($250 + $1.00) Total expense Net operating income 8,624 8,668 8, 484 1,946 1,782 1,716 2,560 2,710 2,640 432 432 416 472 304 302 14,034 13,896 13,558 $ 2,066 $ 4,734 $ 4,382 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance). Input all amounts as positive values.) Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Actual Results Planning Budget 52 Flights 54 54 Revenue $ 16,100 $ 18,630 $ 17,940 Expenses: Wages and salaries Fuel 8,484 8,624 1,946 8,668 1,782 1,716 Airport fees 2,560 2,710 2,640 432 432 416 Aircraft depreciation Office expenses Total expense 472 304 302 14,034 13,896 13,558

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

Step: 3

blur-text-image

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

More Books

Students also viewed these Accounting questions

Question

Explain all drawbacks of the application procedure.

Answered: 1 week ago

Question

Determine Leading or Lagging Power Factor in Python.

Answered: 1 week ago

Question

What are some of the possible scenes from our future?

Answered: 1 week ago