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Solnce55 [7]
3 years ago
14

Dermody Snow Removal's cost formula for its vehicle operating cost is $2,850 per month plus $317 per snow-day. For the month of

December, the company planned for activity of 16 snow-days, but the actual level of activity was 14 snow-days. The actual vehicle operating cost for the month was $7,640. The spending variance for vehicle operating cost in December would be closest to:
Business
2 answers:
antiseptic1488 [7]3 years ago
6 0

Answer:

$352  unfavorable variance

Explanation:

The spending variance operating cost in December can be ascertained by taking the difference between the actual vehicle operating cost of $7,640 and the budgeted vehicle operating cost using actual level of activity

Budgeted vehicle operating cost using actual level of activity=fixed vehicle operating plus variable multiplied by actual level of activity.

fixed vehicle operating cost is $2,850

variable cost per snow day is $317

actual level of activity is 14 snow days

spending variance=$7,640-($2850+($317*14))

                              =$7640-$7288 =$352

Korvikt [17]3 years ago
5 0

Answer:

$352 unfavorable

Explanation:

The spending variance for vehicle operating cost in December can be calculated the difference between actual cost and budgeted vehicle operating cost using actual activity.

As per given data

Budgeted cost = $2,850 + $317 x 14 = $7,288

Actual cost = $7,640

Spending variance = $7,640-$7,288

Spending variance = $352

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7 0
11 months ago
If individuals believe their income will decrease in the near future, they may _____________ their spending
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Decrease, cut, halt, slow down.
7 0
3 years ago
Based on the key assumptions of financial reporting, which of the following should be excluded from financial reports? A : items
schepotkina [342]

Answer:

Customer satisfaction and complaint reports should be excluded from financial reports.

Explanation:

Customer satisfaction and complaints report is a marketing report, it determines how the products and services provided by a company meet or exceed customer expectations. Customer expectitions are not the same for each customer, and can't be measured and registered in a financial report.

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6 0
3 years ago
Employees and customers are treated like a family at State Street Coffee House. Jason and Jill, the owners, work to encourage un
quester [9]

Answer: <em>Clan Culture</em>

Explanation:

A clan culture is generally referred to or known as a tribe-like or family-like kind of organization environment that tend to emphasize on the consensus and also on the commonality of  values and goals. Clan cultures are often viewed as a collaborative and also one of the least competitive corporate culture models which often exist in an organization.

7 0
3 years ago
During the year, Belyk Paving Co. had sales of $2,393,000. Cost of goods sold, administrative and selling expenses, and deprecia
BigorU [14]

Answer:

Cash obtained From Bank $588,100

Explanation:

Lets Solve it By Cash Flow Method To find out Amount of Debt Acquired During the Year.

Cash Inflows

Sales                                                 2393000

Out Flow

Cost of Goods Sold                         (1432000)  Assuming total purchases were made during the year  

Depreciation                                       -               Non-Cash Item

Admin Expense                                 (435700)  Cash Expense

Selling Expense                                 (490700)   Cash Expense

Interest Expense                                (215700)    

Net Inflow/(Outflow)                            (181700)   Net outflow

Dividend Paid                                      (407000)

Total Cash obtain form the bank      (588100)      i.e 181700+407000

To make the payments.  

Assuming that there were no cash at start of the year.

4 0
3 years ago
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