Question

Problem 9-23 (Algo) Performance Report for a Nonprofit Organization [LO9-1, LO9-2, LO9-3, LO9-4, LO9-6] The St. Lucia Blood Bank a private charity partly supported by government grants, is located on the Caribbean island of St. Lucia. The blood bank has just finished its operations for September, which was a very busy month due to a powerful hurricane that hit neighboring Islands causing many injuries. The hurricane largely bypassed St. Lucia, but residents of St. Lucia willingly donated their blood to help people on other islands. As a consequence, the blood bank collected and processed over 20% more blood than had been originally planned for the month. A report prepared by a government official comparing actual costs to budgeted costs for the blood bank appears below. Continued support from the government depends on the blood bank's ability to demonstrate control over its costs. St. Lucia Blood Bank Cost Control Report For the Month Ended September 30 Actual Planning Results Budget Liters of blood 620 500 collected Variances $ Medical supplies Lab tests Equipment depreciation Rent Utilities Administration Total expense 9,250 $ 6,180 2,800 1,000 57e 11,748 31,540 $ 7,500 $1,750 U 6,000 180 U 2,500 300 U 1,000 70 U 11,250 490 U 28,750 $2,790 U 500 $

Answer 1

Flexible budget performance report

	Actual results	Spending variance	Flexible budget	activity variance	Planning budget
Liters of blood collected	620		620		500
Medical supplies	9250	50 F	9300	1800 U	7500
Lab tests	6180	1260 F	7440	1440 U	6000
Equipment depreciation	2800	300 U	2500	0 None	2500
Rent	1000	0 None	1000	0 None	1000
Utilities	570	70 U	500	0 None	500
Administration	11740	190 U	11550	300 U	11250
Total expense	31540	750 F	32290	3540 U	28750