Pixed Cost Cost per per Month Repair-Hour Wages and salaries Parts and supplies
ID: 2404933 • Letter: P
Question
Pixed Cost Cost per per Month Repair-Hour Wages and salaries Parts and supplies Equipment depreciation Truek operating expenses Rent Administrative expenses $15.00 $ 7.50 $ 0.40 1.90 $21,200 s 2,800 s 5,790 $ 4,630 3,820 $0.70 For example, wages and salaries should be $21.200 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 $45.00 per repair-hour. 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) Jake's Roof Repair Activity Variances For the Month Ended May 31 Revenue Expenses: Wages and salaries Parts and supplies Equipment depreciation Truck operating expenses Rent Administrative expenses Total expenseExplanation / Answer
Answer:
Budgeted (2700 Repair-Hours) Actual (2600 Repair Hour) Variance Revenue 121500 117000 4500 U Expense Wages and Salaries 61700 60200 1500 F Parts and Supplies 20250 19500 750 F Equipment Depreciation 3880 3840 40 F Truck Operating Expense 10920 10730 190 F Rent 4630 4630 None Administrative Expense 5710 5640 70 F