The Marketing Club at York University Recently Held an End-Of-Year

The Marketing Club at York University recently held an end-of-year dinner and swim party, which the treasurer noted was a financial success. "Attendance was an all-time high, 60 members, and the results were much better than expected." The treasurer presented the following performance report at the executive board's June meeting:
Answer: $\begin{array}{|l|r|c|c|c|c|}\hline & \text { Budget } & & \text { Actual } & & \text { Variance } \\\hline \text { Revenue } & \$ 1.575 & & \$ 2.205 & & \$ 630 \mathrm{~F} \\\hline \text { Food } & \$ 675 & & \$ 870 && \$ 195 \mathrm{U} \\\hline \text { Beverages } & 315 & & 480 && 165 \mathrm{U} \\\hline \text { Dise jockey } & 150 & & 175 & &25 \mathrm{U} \\\hline \text { Facility rental } & 200 & & 200 & & \ldots \\\hline \text { Total costs } & \$ 1.340 & & \$ 1.725 && \$ 385 \mathrm{U} \\\hline \text { Profit } & \$ 235 && \$ 480 & &\$ 245 \mathrm{~F} \\\hline\end{array}$ The budget was based on the following assumptions:
▪ Forty-five members would attend at a fixed ticket price of $35.
▪ Food and beverage costs would be $15 and $7 per attendee, respectively.
▪ A disc jockey was hired via a written contract at $50 per hour.
Required:
A. Briefly evaluate the meaningfulness of the treasurer's performance report.
B. Prepare a performance report by using flexible budgeting and determine whether the end-of-year party was as successful as originally reported.
C. Based on your answer in requirement "B," present a possible explanation for the variances in revenue, food costs, beverage costs, and the disc jockey.