Chapter 9 Graded Problems problems) Help Save&Exit; Subm 2 Check my work Milano

Question

Chapter 9 Graded Problems problems) Help Save&Exit; Subm 2 Check my work Milano Pizza ls a small neighborhood pizzeria that has a small area for in-store dining as wel as offering take-out and free home delvery services. The number of delveries made. pizzeria's owner has determined that the shop has two major cost drivers-the number of pizzas sold and the 15 points The pizzeria's cost formulas appear below 3-80 s 5.220 630 Deilities Delivery person Delivery vehicle Equipment 0.05 3.50 s 1.50 275 1 , 830 kiacellaneoun $ 820 0.15 In November, the pizzeria budgeted for 1,200 plzzas at an average selling price of $13.50 per pizza and for 180 deliveries. Data concerning the pizzeria's actual resuits in November appear below tual Results Pizzas Deliveries 174 Pizza ingredients Kitohen staff veiistles Delivery person Delivery vehiele Equipnent depreciation 17,420 s 4,985 5,281 $ 984 S 6o9 $ 65s 275 1,830 954 Miscellaneous Required: MacBook Air

Explanation / Answer

Milano Pizza Flexible Budget Performance Report For the Month Ended November 30 Actual Results Flexible Budget Planning Budget Pizzas 1240 1240 1200 Deliveries 174 174 180 Revenues ($13.50 per Pizza) $17,420 $680 Favorable $16,740 $540 Favorable $16,200 Expenses:     Pizza Ingredients $4,985 $273 Unfavorable $4,712 $152 Unfavorable $4,560     Kitchen Staff $5,281 $61 Unfavorable $5,220 $0 $5,220     Utilities $984 $292 Unfavorable $692 $2 Unfavorable $690     Delivery person $609 $0 $609 $21 Favorable $630     Delivery Vehicle $655 $146 Favorable $801 $9 Favorable $810     Equipment Depreciation $275 $0 $275 $0 $275     Rent $1,830 $0 $1,830 $0 $1,830     Miscellaneous $954 $52 Favorable $1,006 $6 Unfavorable $1,000 Total expense $15,573 $428 Unfavorable $15,145 $130 Unfavorable $15,015 Net operating income $1,847 $252 Favorable $1,595 $410 Favorable $1,185

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