1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Yakvenalex [24]
3 years ago
14

Business Solutions's second-quarter 2020 fixed budget performance report for its computer furniture operations follows. The $162

,290 budgeted expenses include $113,710 in variable expenses for desks and $14,580 in variable expenses for chairs, as well as $34,000 fixed expenses. The actual expenses include $35,500 fixed expenses. List fixed and variable expenses separately. Fixed Budget Actual Results Variances Desk sales (in units) 137 143 Chair sales (in units) 54 62 Desk sales $ 178,100 $ 184,470 $ 6,370 F Chair sales 27,000 31,930 4,930 F Total expenses 162,290 171,220 8,930 U Income from operations $ 42,810 $ 45,180 $ 2,370
Prepare a flexible budget performance report that shows any variances between budgeted results and actual results.
Business
1 answer:
SCORPION-xisa [38]3 years ago
4 0

Answer:

First we find thebudgeted unit sales values and then multiply with the actual units to get the flexible sales value. We do the similar operations for the expenses and then do the calculations. If the actual revenue is greater than flexible budget revenue then it is favorable  but if actual expenses are more then they are unfavorable.

Explanation:

Business Solutions

                               Fixed Budget        Actual Result      Variance

Desks Units              137                               143

Chair sales (in units) 54                                 62

Desk sales               $ 178,100                 $ 184,470            $ 6,370 F

Chair sales                27,000                      31,930                 4,930 F

Total expenses        162,290                     171,220                8,930 U

Income from operations $ 42,810             $ 45,180              $ 2,370

<u>Business Solutions</u>

<u>Flexible Budget Performance Report </u>

<u>Second-Quarter 2020</u>

                             <em> Flexible Budget     Actual Results   Variance (F/ UNfav)</em>

Desks                       ( $ 178,100 /137)143

                                        185900                  $ 184,470           1430 Unfav

Chairs                    (27,000/54) 62

                                     31000                         31930                930 Fav

Variable Expenses       135430                      135720             290 unfav

Desk Sales              (113710/137)  * 143                  

                                         118690                  

Chair sales             ($14,580/ 54)(62)

                                        16740                    

<u>Add Fixed                      $34,000                 $35,500         1,500 ( unfav)</u>

<u>Income from Operation  47470                   45180              2290 unfav</u>

                                                     

You might be interested in
Sally opened her own business and resigned from a job paying $25,000 per year. Her savings acccount pays 8% interest, but she wi
DiKsa [7]

Answer:

A) They would be indifferent, as Sally's income net of costs equals $25,000.

Explanation:

Sally's economic profit = accounting profit - opportunity costs

  • accounting profit = $12,000
  • opportunity costs = $25,000 - $15,000 in lost salaries + $2,000 (lost investment revenue) = $12,000

economic profit = $12,000 - $12,000 = $0

Since the economic profit is $0, Sally should be indifferent between running her own business or working for someone else.

7 0
2 years ago
Distinguish between the substitution and income effects of a price change. If a good’s price increases does each effect have a p
vesna_86 [32]
The economics concepts of income effect and substitution effect express changes in the market and how these changes impact consumption patterns for consumer goods and services. The income effect expresses the impact of increased purchasing power on consumption, while the substitution effect describes how consumption is impacted by changing relative prices. Different goods and services experience these changes in different ways. Some products, called inferior goods, generally decrease in consumption whenever incomes increase. Consumer spending and consumption of normal goods typically increases with higher purchasing power, in contrast with inferior goods.



Read more: What's the difference between the income effect and the substitution effect? | Investopedia http://www.investopedia.com/ask/answers/041415/whats-difference-between-income-effect-and-substitution-effect.asp#ixzz4wcsy3IOK
Follow us: Investopedia on Facebook
7 0
3 years ago
Airline Accessories has the following current assets: cash, $93 million; receivables, $85 million; inventory, $173 million; and
prohojiy [21]

Answer:

See below

Explanation:

1. The current ratio is the sum of current assets divided by current liabilities. It used to measure the ability of the airlines accessories to meet its short term obligation due within a year

Current ratio = $93 million + $85 million + $9 million / $80 million + $26 million

Current ratio = $187 million / $106 million

Current ratio = 1.76:1

Current ratio = 1.76 times

2. Acid test ratio. This measure liquidity but with adjustment for risky current assets i.e Inventory

Acid test ratio = Current assets - Inventories / Current liabilities

Acid test ratio = ($187 million - $173 million) / $106 million

Acid test ratio = $14 million / $106 million

Acid test ratio = 0.13:1

Acid test ratio = 0.13 times

6 0
3 years ago
Dora earns 50,000 a year at her johs. when she was given a raise of 5,000 her spending increased from 50,000 to 54,000 calvulate
weqwewe [10]
Given:
ΔY = $5,000, the change in income
ΔS = 50,000 - 54,000 = - 4,000, the change in savings.

By definition,
MPS (Marginal Propensity to Spend) is
MPS = ΔS/ΔY = -4000/5000 = -0.8

The relation between MPS and MPC (Marginal Propensity to Consume) is
MPS + MPC = 1.
Therefore
MPC - 0.8 = 1
MPC = 1.8

Answer:
MPS = 0.8
MPC = 1.8


5 0
3 years ago
Read 2 more answers
Henry conducted a survey on an ad done by his company. In the survey, he asked people to evaluate the ad and state whether they
GrogVix [38]
I think the answer is rating scale test! hope this helped 
6 0
3 years ago
Read 2 more answers
Other questions:
  • Which type of bank account typically offers the least <br> interest?
    11·1 answer
  • An externality arises when a firm or person engages in an activity that affects the wellbeing of a third party, yet neither pays
    10·1 answer
  • In November 2006, Citigroup's stock (NYSE: C) was trading at $49.59. Following the credit crisis of 2007-2008 and by the end of
    10·1 answer
  • Which of the training professionals' roles do you believe is the most difficult to learn? Which is the easiest?
    5·1 answer
  • Logistics Trucking Company operates a fleet of fuel trucks. When one of the trucks is positioned to receive a load of biofuel, i
    9·1 answer
  • A situation in which a country specializes in producing the goods it produces most efficiently and buys the products it produces
    15·1 answer
  • Suppose Fred has a payroll check from his place of employment, Kelsey's Pub. He then endorses the back of a check and gives it t
    13·1 answer
  • How do u feel about colorado’s position
    14·1 answer
  • Spiro Spammer sends millions of e-mails a day asking people to donate to his college tuition fund. Oddly enough, many people do.
    8·1 answer
  • Look at the following chart. Producer A · Can produce 200 apples and 100 oranges in one day - Can produce 400 apples and o orang
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!