## Question

###### Via Gelato is a popular neighborhood gelato shop. The company has provided the following data concering...

## Answers

Answer

Revenue & Spending Variance

Revenues

$ 7,160.00

UExpenses:

Raw materials

$ 625.00

U

Wages

$ 430.00

F

Utilities

$ 800.00

U

Rent

$ -

N

Insurance

$ -

N

Miscellaneous

$ 745.00

F

Total Expenses

$ 250.00

U

Net Operating Income

$ 7,410.00

U--Working for Flexible Budget

WORKING COLUMNS

Actual Result

Revenue & Spending Variance

Flexible Budget

Cars washed

6,300

6,300

Revenues

$ 29.00

$ 175,540.00

$ 7,160.00

U

$ 182,700.00Expenses:

Raw materials

(

$ -

)

$ 6.35

x 6300 or 6100

$ 40,630.00

$ 625.00

U

$ 40,005.00

Wages

(

$ 7,300.00

)

$ 3.10

x 6300 or

)

$ 26,400.00

$ 430.00

F

$ 26,830.00

Utilities

(

$ 3,330.00

+

$ 1.90

x 6300 or 176900

)

$ 16,100.00

$ 800.00

U

$ 15,300.00

Rent

(

$ 4,300.00

+

$ -

x 6300 or

)

$ 4,300.00

$ -

N

$ 4,300.00

Insurance

(

$ 3,050.00

+

$ -

x 6300 or 38735

$ 3,050.00

$ -

N

$ 3,050.00

Miscellaneous

(

$ 820.00

)

$ 2.05

x 6300 or 26210

$ 12,990.00

$ 745.00

F

$ 13,735.00

Total Expenses

$ 18,800.00

$ 13.40

$ 103,470.00

$ 250.00

U

$ 103,220.00

Net Operating Income

$ 72,070.00

$ 7,410.00

U

$ 79,480.00