Question

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,200 pounds of oysters in August. The company's flexible budget for August appears below: Quilcene Oysteria Flexible Budget For the Month Ended August 31 Actual pounds (9) 7,200 $ 30,240 Revenue ($4.209) Expenses: Packing supplies ($0.30q) Oyster bed maintenance ($3,600) Wages and salaries ($2,200 + $0.259) Shipping ($0.659) Utilities ($1,200) Other ($430 + $0.019) Total expense 2,160 3,600 4,000 4,680 1,200 502 16,142 $ 14,098 Net operating income

Answer 1

Quilence Oysteria
Revenue and Spending Variances
For the month ended August 31
	$
Revenue	3,740.00	U
Expenses:
Packing Supplies	170.00	F
Oyster bed maintenance	140.00	U
Wages and Salaries	410.00	F
Shipping	270.00	U
Utilities	190.00	U
Others	620.00	F
Total Expense	600.00	F
Net Operating Income	4,340.00	U
Explanations
Quilence Oysteria
Revenue and Spending Variances
For the month ended August 31
	Actual Results	Flexible Budgets	Revenue and
	($)	($)	Spending Variances
Pounds	7,200.00	7,200.00	-
Revenue	26,500.00	30,240.00	3,740.00	U
Expenses:
Packing Supplies	2,330.00	2,160.00	170.00	F
Oyster bed maintenance	3,460.00	3,600.00	140.00	U
Wages and Salaries	4,410.00	4,000.00	410.00	F
Shipping	4,410.00	4,680.00	270.00	U
Utilities	1,010.00	1,200.00	190.00	U
Others	1,122.00	502.00	620.00	F
Total Expense	16,742.00	16,142.00	600.00	F
Net Operating Income	9,758.00	14,098.00	4,340.00	U
(Revenue - Expenses)