How do I know if the answer is favorable or unfavorable?
Homework Answers
| Pratte Boat Wash | |||
| Actual budget for cleaning Equipment and Supplies=(A) | $ 3,470.00 | ||
| Flexible Budget for Cleaning Equipment and Supplies=($2560+16 Boats @$47 per boat)=(B) | $ 3,312.00 | ||
| Planning Budget for cleaning Equipment and Supplies=($2560+61*$47)=(C ) | $ 5,427.00 | ||
| Ans) | The Activity variance for cleaning Equipment and Supplies=Planning Budget-Flexible Budget=(C )-(B) | $ 2,115.00 | (F) |
| Flexible Budget< Planning Budget=Favorable | |||
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How do I know if the answer is favorable or unfavorable?
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