15 Revenue Employee salaries and wages Travel expenses other expenses Fixed Element Variable Element Actual per per Customer Total Month Served for May $ 6,000 $ 195,500 $ 56,000 $ 1,700 $ 114,700 $ 900 $ 28,900 $ 35,000 $ 33,500 When preparing its planning budget the company estimated that it would serve 30 customers per month; however, during May the company actually served 35 customers. 14. What activity variance would Adger report in May with respect to its revenue? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Answer is complete but not entirely correct. $ 14,500 Activity variance Adger Corporation is a service company that measures its output based on the number of customers served. The company provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results for May as shown below: 15 Revenue Employee salaries and wages Travel expenses Other expenses Fixed Element Variable Element Actual per per Customer Total Month Served for May $ 6,000 $ 195,500 $ 56,000 $ 1,700 $ 114,700 $ 900 $ 28,900 $ 35,000 $ 33,500 When preparing its planning budget the company estimated that it would serve 30 customers per month; however, during May the company actually served 35 customers. 15. What activity variances would Adger report with respect to each of its expenses for May? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance), Input all amounts as positive values.) Activity Variance Employee salaries and wages Travel expenses Other expenses