Cleaning supplies Electricity Maintenance Wages and salaries. Depreciation Rent Administrative expenses For Actual cars washed Revenue Expenses: For example, electricity costs should be $1,200 per month plus $0.08 per car washed. The company expects to wash 8,400 cars in August and to collect an average of $6.10 per car washed. The actual operating results for August are as follows: Cleaning supplies Electricity Maintenance Lavage Rapide Income Statement the Month Ended August 31 Wages and salaries Depreciation Rent Fixed Cost per Month $ 1,200 $4,000 $ 8,100 $ 2,000 $ 1,700 Administrative expenses Total expenses Net operating income Cost per Car Washed $ 0.70 $ 0.08 $ 0.10 $ 0.30 8,500 $53,340 6,380 1,842 1,080 6,880 $ 0.04 8,100 2,200 1,936 28,418 $ 24,922 Required: Calculate the company's revenue and spending variances for August. Check my wo

Cleaning supplies Electricity Maintenance Wages and salaries. Depreciation Rent Administrative expenses For Actual cars washed Revenue Expenses: For example, electricity costs should be $1,200 per month plus $0.08 per car washed. The company expects to wash 8,400 cars in August and to collect an average of $6.10 per car washed. The actual operating results for August are as follows: Cleaning supplies Electricity Maintenance Lavage Rapide Income Statement the Month Ended August 31 Wages and salaries Depreciation Rent Fixed Cost per Month $ 1,200 $4,000 $ 8,100 $ 2,000 $ 1,700 Administrative expenses Total expenses Net operating income Cost per Car Washed $ 0.70 $ 0.08 $ 0.10 $ 0.30 8,500 $53,340 6,380 1,842 1,080 6,880 $ 0.04 8,100 2,200 1,936 28,418 $ 24,922 Required: Calculate the company's revenue and spending variances for August. Check my wo

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter4: Preparing And Using Financial Statements

Section: Chapter Questions

Problem 2EP

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Jake's Roof Repair has provided the following data conceming its costs: Fixed Cost per Month $ 20,800 Cost per Repair-Hour $15.00 $ 7.70 $ 0.55 $ 1.90 Wages and salaries Parts and supplies Equipment depreciation Truck operating expenses Rent Administrative expenses For example, wages and salaries should be $20,800 plus $15.00 per repair-hour. The company expected to work 2,700 repair-hours in May, but actually worked 2,600 repair-hours. The company expects its sales to be $47.00 per repair-hour. $ 2,800 $ 5,720 $ 4,670 $3,860 Revenue Required: Compute the company's activity variances for May. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) $ 0.70 Jake's Roof Repair Activity Variances For the Month Ended May 31 Prev 13 of 13 Next
Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Administrative expenses Rent Actual cars washed Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent For example, electricity costs should be $1,300 per month plus $0.06 per car washed. The company expects to wash 8,100 cars in August and to collect an average of $6.60 per car washed. The actual operating results for August are as follows: Lavage Rapide Income Statement For the Month Ended August 31 Administrative expenses Total expenses Net operating income Cars washed Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Fixed Cost per Month Administrative expenses Total expenses Net operating income $ 1,300 $ 4,100 $ 8,100 $ 1,800 $ 1,800 $ Required: Prepare a flexible budget performance report for August. Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect…
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Jake's Roof Repair has provided the following data concerning its costs: Fixed Cost per Month $ 20,900 Cost per Repair-Hour. $ 15.00 $ 7.78 $8.35 $ 1.80 Wages and salaries. Parts and supplies Equipment depreciation Truck operating expenses Rent Administrative expenses For example, wages and salaries should be $20,900 plus $15.00 per repair-hour. The company expected to work 2,500 repair-hours In May, but actually worked 2,400 repair-hours. The company expects its sales to be $45.00 per repair-hour. Revenue Expenses: $ 2,760 $ 5,790 $ 4,640 $ 3,850 Required: Compute the company's activity variances for May. (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance). Input all amounts as positive values.) Jake's Roof Repair Activity Variances For the Month Ended May 31 Wages and salaries Parts and supplies Equipment depreciation Truck operating expenses Rent Administrative expenses Total expense Net operating…
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The cost data for BC Billing Solutions for the year 2020 is as follows: Using the high-low method, express the companys overtime wages as an equation where x represents number of invoices processed. Assume BC has monthly fixed costs of $3,800. Predict the overtime wages if 9,000 invoices are processed. Predict the overtime wages if 6,500 invoices are processed. Using Excel, create a scatter graph of the cost data and explain the relationship between the number of invoices processed and overtime wage expense.
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