The Vermont Company has requested a performance report that reports both sales activity variances and flexible budget variances. The following table of information is provided:
Required:
1) Compute and enter variances in columns 3 and 6. In column 3, enter the variance (difference) between column 2 and column 5; in column 4, label the variance as favorable (F) or unfavorable (U). In column 6, enter the variance between columns 5 and 8, and in column 7 indicate whether this variance is favorable or unfavorable.2) Which column contains sales volume variances and which column contains flexible budget variances?
3) Comment on this company's performance.

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The Answer of The Vermont Company has requested a performance report that reports both sales activity variances and flexible budget variances. The following table of information is provided:
Required:
1) Compute and enter variances in columns 3 and 6. In column 3, enter the variance (difference) between column 2 and column 5; in column 4, label the variance as favorable (F) or unfavorable (U). In column 6, enter the variance between columns 5 and 8, and in column 7 indicate whether this variance is favorable or unfavorable.2) Which column contains sales volume variances and which column contains flexible budget variances?
3) Comment on this company's performance.

The Vermont Company Has Requested a Performance Report That Reports