1. A is an estimate of what revenues and costs should have been, given the 2. A is the difference between how much a cost should have been, given the actual level of activity, and the actual amount of the cost What are the two types of spending variances we can compute using the actual results and the standard cost data? 3. 4. What is the materials quantity variance formula? 5. What is the materials price variance formula? 6. A variance is the difference between how much of an input was actually used and how much should have been used and is stated in dollar terms using the standard price of the input. 7. Avariance is the difference between the actual price of an input and its standard price, multiplied by the actual amount of the input purchased. 8. Hunter Corporation bases its budgets on the activity measure customers served. During September, the company planned to serve 26,000 customers, but actually served 27,000 customers. The company has provided the following data concerning the formulas it uses in its budgeting: Fixed element per month Variable element per customer Revenue Wages and salaries Supplies Insurance Miscellaneous $35,800 $o $13,000 $7,500 $5.00 $1.90 $0.60 $0.00 $0.20 Prepare the company's flexible budget for month. September based on the actual level of activity for the