flexible budget performance report 428234
Aug 29, 2021 | Uncategorized
|
Verona Pizza is a small neighborhood pizzeria that has a small area for in store dining as well offering takeout and free home delivery services. The pizzeria’s owner has determined that the shop has two major cost drivers”the number of pizzas sold and the number of deliveries made. Data concerning the pizzeria’s costs appear below:
|
Fixed Cost
per Month |
Cost per
Pizza |
Cost per
Delivery |
| Pizza ingredients |
|
|
$ |
4.20 |
|
|
| Kitchen staff |
$ |
5,870 |
|
|
|
|
| Utilities |
$ |
590 |
$ |
0.10 |
|
|
| Delivery person |
|
|
|
|
$ |
2.90 |
| Delivery vehicle |
$ |
610 |
|
|
$ |
1.30 |
| Equipment depreciation |
$ |
384 |
|
|
|
|
| Rent |
$ |
1,790 |
|
|
|
|
| Miscellaneous |
$ |
710 |
$ |
0.05 |
|
|
|
|
| In October, the pizzeria budgeted for 1,500 pizzas at an average selling price of $13.00 per pizza and for 200 deliveries. |
Data concerning the pizzeria’s operations in October appear below:
|
Actual
Results |
| Pizzas |
|
1,600 |
| Deliveries |
|
180 |
| Revenue |
$ |
21,340 |
| Pizza ingredients |
$ |
6,850 |
| Kitchen staff |
$ |
5,810 |
| Utilities |
$ |
875 |
| Delivery person |
$ |
522 |
| Delivery vehicle |
$ |
982 |
| Equipment depreciation |
$ |
384 |
| Rent |
$ |
1,790 |
| Miscellaneous |
$ |
778 |
|
|
|
