Business, 21.12.2021 08:00 shartman22

Question The London Docks Caféth

Planning and actual budgets for the month ended September 30, 2020

PLANNING ACTUAL

Budgeted meals quantity (q) 20 000 18 000

Revenues (£5.00q) £100 000 £90 000

Expenses:

Raw material (£2.50q) 50 000 45 000

Wages and salaries (£5 500+£0.25q) 10 500 10 000

Utilities (£2 500 + £0.05q) 3 500 3 400

Facility rent 5 000 5 500

Insurance 2 800 3 200

Fuel 2 500 2 800

Net Operating Income £25 700 £20 100

Required:

a) Outline the objectives of budgeting and explain how London Docks Café benefits from engaging in robust budgetary processes? (15 marks)

b) Report showing London Docks Cafe's revenue and spending variance for September? (20 marks)

c) Based on the variances report you prepared in (b) above, which area/s of

Answers: 2

Show answers

Other questions on the subject: Business

Business, 21.06.2019 17:10, miguelc2145

At the beginning of the accounting period, nutrition incorporated estimated that total fixed overhead cost would be $50,600 and that sales volume would be 10,000 units. at the end of the accounting period actual fixed overhead was $56,100 and actual sales volume was 11,000 units. nutrition uses a predetermined overhead rate and a cost plus pricing model to establish its sales price. based on this information the overhead spending variance is multiple choice $5,500 favorable. $440 favorable. $5,500 unfavorable. $440 unfavorable.

Answers: 3

continue

Business, 22.06.2019 01:30, mobslayer88

Iam trying to get more members on my blog. how do i do this?

Answers: 3

continue

Business, 22.06.2019 05:00, jennemylesp19oy5

What is a sort of auction for stocks in which traders verbally submit their offers?

Answers: 3

continue

Business, 22.06.2019 08:30, ansarishaheer2888

Sonic corp. manufactures ski and snowboarding equipment. it has estimated that this year there will be substantial growth in its sales during the winter months. it approaches the bank for credit. what is the purpose of such credit known as? a. expansion b. inventory building c. debt management d. emergency maintenance

Answers: 3

continue

You know the right answer?

Question The London Docks Caféth

Planning and actual budgets for the month ended Septe...