Insight 2011 Questions

[RossiJ]

I think there's a couple of wrong answers::

2.2.1
VARIANCE REPORT
Adjusted Gross Profit   Budgeted: 3655, Actual: 3580

The answers said this was a favorable result? Pleaseeee explaiinnnnn?

2.3.1
The requirement was to post the general journal entry when the sales revenue was earned
"During September 2011 the business received $2 000 plus $200 GST from Blackburn Auto Sales. This amount was for the purchase of 4 office chairs, which Freya’s Furniture agreed to supply in October. At the end of October 2011 Freya has supplied three of the four items. Freya applied a mark-up of 50% for this transaction."

Answers are:
"31 Oct
Prepaid sales Revenue
1 500
Sales revenue
1 500
Cost of Sales
1 000
Stock Control
1 000"

I would think COS and SC would be 750?? Pleaseeeee explaiinnnnn?


Ta xxxxx

[abzzzz]

Adjusted gross profit would mean there's probably a stock loss, meaning they budgeted for it but it didn't happen

[bopper69]

My other thread was addressing this question haha. The mark up was 50%. 1500 was the selling price so 1500/1.5= 1000.

[RossiJ]

Adjusted gross profit would mean there's probably a stock loss, meaning they budgeted for it but it didn't happen

Answer is this::
GROSS PROFIT Budgeted: 3 955, Actual: 4 380, Var: 425, Trend: F
Less stock loss Budgeted: 300, Actual: 800, Var: 500, Trend U
ADJUSTED GROSS PROFIT Budgeted: 3 655, Actual: 3 580, Var: 75, Trend: F

Does that seem right to you?

My other thread was addressing this question haha. The mark up was 50%. 1500 was the selling price so 1500/1.5= 1000.

derp derp, my bad, should have done the maths on the calc instead of presuming that the 50% mark up just means half the 2000 haha... FML, its getting late haha

[xXjAmEZXx]

Shiverz baseline no scope