Cicchetti CorporationFlexible Budget Performance Report Part 2For the Month Ended December 31PlanningBudgetFlexibleActivity VariancesBudgetCustomers servedExpenses:Total expensesNet operating income Cicchetti Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of December:Cicchetti CorporationComparison of Actual Results to Planning BudgetFor the Month Ended December 31ActualResults36,000$180,900PlanningBudget30,500$152,500VariancesCustomers servedRevenue ($5.0q)Expenses:Wages and salaries ($37,300 + $1.8q)Supplies ($0.8q)Insurance ($14,300)Miscellaneous expense ($7,300 + $0.3q)Total expenseNet operating income$28,400F105,40028,30014,65019,950168,300$ 12,60092,20024,40014,30016,450147,350$ 5,15013,2003,9003503,500UUUU20,950$ 7,450UFRequired:Prepare the company's flexible budget performance report for December. Select each variance as favorable (F), unfavorable (U) or "None".Cicchetti CorporationFlexible Budget Performance Report Part 1For the Month Ended December 31ActualRevenue andFlexibleResultsSpending VariancesBudgetCustomers servedExpenses:Total expensesNet operating income

The flexible budget report is prepared to find the revenue and spending variances and activity…

Cicchetti Corporation Comparison of Actual Results to Planning Budget For the Month Ended December 31 Actual Results Planning Budget 30,500 $152,500 Variances Customers served 36,000 Revenue ($5.0q) Expenses: Wages and salaries ($37,300 + $1.8q) Supplies ($0.8q) Insurance ($14,300) Miscellaneous expense ($7,300 + $0.3q) Total expense Net operating income $180,900 $28,400 F 105,400 28,300 14,650 19,950 168,300 $ 12,600 92,200 24,400 14,300 16,450 147,350 $ 5,150 13,200 3,900 350 3,500 20,950 $ 7,450

Cicchetti Corporation Comparison of Actual Results to Planning Budget For the Month Ended December 31 Actual Results Planning Budget 30,500 $152,500 Variances Customers served 36,000 Revenue ($5.0q) Expenses: Wages and salaries ($37,300 + $1.8q) Supplies ($0.8q) Insurance ($14,300) Miscellaneous expense ($7,300 + $0.3q) Total expense Net operating income $180,900 $28,400 F 105,400 28,300 14,650 19,950 168,300 $ 12,600 92,200 24,400 14,300 16,450 147,350 $ 5,150 13,200 3,900 350 3,500 20,950 $ 7,450

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter10: Evaluating Decentralized Operations

Section: Chapter Questions

Problem 1PB

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