ACTG-131 Kyaw Aung 11/13/17 3.12 PM Quiz: Chapter 10 Quiz Submilt Quiz This Ques

ID: 2570701 • Letter: A

Question

ACTG-131 Kyaw Aung 11/13/17 3.12 PM Quiz: Chapter 10 Quiz Submilt Quiz This Question:8 pts 3 of 4 (3 complete) This Quiz: 25 pts possible Echo Canyon Muftins sells its muffins to restaurants and cotfee houses for an average seling price Requirement of $31 per case. The following information relates to the budget for Echo Canyon Muffins for this Construct a flexible budget performance report for Echo Canyon Mullins for the year. Be sure to year (all figures are annual totals unless otherwise noted) (click the icon to view the budget iformation.) During the year, E $293,300. Actual ndicane whether each variance is tavorable (F) or unfavorable (U)(Enter the vanrees as ave each variance as favorable (F) or Tles revnu Data Table Data Table (click the icon 8,800 cases Budgeted sales in es Packaging cost per case Shipping expense per case Sales commission expense 10,000 Packaging cost Shipping expense Sales commission expense Salaries expense Office rent Depreciation Insurance expense Office supplies expense 29,800 erating Ex 5,866 | $ 6,700 s 3,700 3,300 1400 S 1.500 FlexibleSalaries expense BudgetOffice rent a200 Deprecaton. 2% of sales price $ 6,500 $ 3,700 S 3,300 $ 1.700 S 1,100 Insurance expense Sales revenue ($31 per case Variable operati Office supplies expense Print Done Print Done to the ned Choose from any U 15:12

Explanation / Answer

Echo Canyon Muflins

Flexible Budget Performance Report - Sales and Operating Expenses

For the year ended December 31

Actual

Flexible budget variance

Flexible budget

Volume Variance

Master Budget

9200 cases

8800 cases

Sales revenue ($31 per case)

293300

8100

285200

12400

272800

Variable operating expenses

Packaging expense ($1 per case)

10000

800

9200

400

8800

Shipping expenses ($3 per case)

29800

2200

27600

1200

26400

Sales commission (2$ of sales)

5866

162

5704

248

5456

Fixed operating expenses

Salaries

6700

200

6500

Office rent

3700

Depreciation

3300

Insurance expense

1400

300

1700

Office supplies expense

1500

400

1100

Total operating expenses

62266

3462

58804

1848

56956