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Beecham Memorial Diner is a charity supported by donations that provides free meals to the homeless. The diner's budget for October was based on 3,400 meals, but the diner actually served 3,200 meals. The diner's director has provided the following cost formulas to use in budgets: The director has also provided the diner's statement of actual expenses for the month:
Required:
Prepare a report showing the activity variances for each of the expenses and for total expenses for October. Label each variance as favorable (F) or unfavorable (U).
Parol Evidence Rule
A rule in contract law that prevents the parties to a written contract from presenting extrinsic evidence of terms that would contradict or add to the written agreement.
Express Disclaimer
A clear and unequivocal statement ensuring that certain facts or rights are not implied from a document or statement.
Oral Warranties
Guarantees made verbally about the quality or function of a product, not in written form.
Comparative Negligence
A legal doctrine that reduces the plaintiff's damages award by the percentage of their fault in causing the injury.
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