In: Accounting
Please fill in the 3 blanks in the spreadsheet and then answer the two following question.
The following information is from Bluff Run Golf Courses. The company runs three courses and the July income statement for each course is as follows:
A. Find the missing value for outings revenue, wages, and operating income.
BLUFF RUN GOLF COURSES | ||||||
Income Statement | ||||||
Month Ending July 31, 2018 | ||||||
Blue Course | Black Course | Gold Course | ||||
Greens fees revenue | $62,500 | $89,000 | $42,900 | |||
Outings revenue | fill in the blank | 6,000 | 27,000 | |||
Total revenue | $74,100 | $95,000 | $69,900 | |||
Expenses: | ||||||
Landscaping | $7,800 | $14,200 | $6,500 | |||
Wages | 43,900 | fill in the blank | 32,700 | |||
Repairs and maintenance | 5,600 | 2,600 | 4,500 | |||
Fuel | 3,100 | 3,000 | 1,970 | |||
Utilities | 1,800 | 3,000 | 1,600 | |||
Total expenses | $62,200 | $79,200 | $47,270 | |||
Operating income | $11,900 | $15,800 | $fill in the blank |
B. Rank the courses in order of profitability, using dollars.
C. Rank the courses in order of profitability, using percentages.
A. Calculations of fill in blanks
Blue course outing Revenue = Total Revenue of blue course - Greens fees Revenue
= 74100-62500
= 11600
Black course wages = Total Expenses - Remaining all expenses of black course
= 79200 - 14200-2600-3000-3000
= 56400
Gold course operating income = Total Revenue - Total Expenses
= 69900- 47270
= 22630
B. Higher operating income of course is rank first , 2nd highest operating income course rank 2nd and so on .
Course | Blue course | Black course | Gold Course |
Operating income | 11900 | 15800 | 22630 |
Rank | 3rd | 2nd | 1st |
C. First of all we calculate the percentage of profitability than on the basis of percentage giving rank to the courses .
Blue
course , profitability percentage =
Black course profitability percentage=
Gold course profitability percentage =
Courses | Blue | black | Gold |
Profitability % | 16.06% | 16.63% | 32.37% |
Rank | 3rd | 2nd | 1st |