Question:Tajiri 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 May:
Tajiri Corporation
Comparison of Planning Budget to Actual Results
For the Month Ended May 31
|
|
Planning Budget
|
Actual Results
|
Variances
|
|
|
Customers served
|
39,000
|
40,000
|
|
|
|
Revenue (3.40q)
|
$132,600
|
$136,500
|
$3,900
|
F
|
|
Expenses: Wages and salaries ($23,900 + $1.29q)
|
74,210
|
75,500
|
1,290
|
U
|
|
Supplies ($0.69q)
|
26,910
|
24,210
|
2,700
|
F
|
|
Insurance ($5,800)
|
5,800
|
5,800
|
0
|
|
|
Miscellaneous expense ($4,800 + $.38q)
|
19,620
|
16,920
|
2700
|
F
|
|
Total expense
|
126,540
|
122,430
|
4,110
|
F
|
|
Net operating income
|
$6,060
|
$14,070
|
$8,010
|
F
|