26.)

Roye Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During September, Kennel budgeted for 4,700 tenant-days, but its actual level of activity was 4,780 tenant-days. Kennel has provided the following data concerning the formulas used in its budgeting and its actual results for September:

Data used in budgeting:

	Fixed element per month	Variable element per tenant-day
Revenue		$35.20
Wages and salaries	$3,600	$8.60
Expendables	1,100	15.10
Facility expenses	7,500	4.10
Administrative expenses	7,600	0.50
Total expenses	$19,800	$28.30

Actual results for September:

Revenue	$144,230
Wages and salaries	$28,660
Expendables	$74,070
Facility expenses	$27,220
Administrative expenses	$7,106

The spending variance for facility expenses in September would be closest to:

$450 F

$122 F

$122 U

$450 U

27.)

Craft Company produces a single product. Last year, the company had a net operating income of $88,180 using absorption costing and $79,600 using variable costing. The fixed manufacturing overhead cost was $6 per unit. There were no beginning inventories. If 27,200 units were produced last year, then sales last year were:

35,780 units

25,770 units

28,630 units

18,620 units

28.)

Colasuonno Corporation has two divisions: the West Division and the East Division. The corporation's net operating income is $85,400. The West Division's divisional segment margin is $48,500 and the East Division's divisional segment margin is $174,400. What is the amount of the common fixed expense not traceable to the individual divisions?

$259,800

$133,900

$222,900

$137,500