Question

The Customer Service Department has prepared its Statement of Operations. Match the different heads to the amount by which the accountant has over or under budgeted the actual expenses. under budgeting of $2,000 over budgeting of $2,000 over budgeting of $200 under budgeting of $200 under budgeting of $20 over budgeting of $20 actual payroll expenses - $120,000 budgeted payroll expenses - $122,000 arrowRight actual fringe benefits -$14,000 budgeted fringe benefits - $12,000 arrowRight actual travel expenses - $1,000 budgeted travel expenses -$1,200 arrowRight actual professional expenses -$2,450 budgeted professional expenses - $2,250 arrowRight actual general expenses - $3,220 budgeted general expenses - $3,200 arrowRight

Answer 1

The Customer Service Department accountant went over budget on payroll and travel expenses ($ 2,000 and $ 200) and he/she went under budget on Fringe benefits, professional and general expenses ($ 2,000, $ 200 and $ 20, respectively).

Explanation:

A. Payroll expenses: Budgeted $ 122,000 vs Actual $ 120,000, Over budgeting of $ 2,000

B. Fringe benefits: Budgeted $ 12,000 vs Actual $ 14,000, Under budgeting of $ 2,000

C. Travel expenses: Budgeted $ 1,200 vs Actual $ 1,000, Over budgeting of $ 200

D. Professional expenses: Budgeted $ 2,250 vs Actual $ 2,450, Under budgeting of $ 200

E. General expenses: Budgeted $ 3,200 vs Actual $ 3,220, Under budgeting of $ 20