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Comenco Company uses both number of jobs and number of meals as variable components in its cost and revenue formulas when preparing budgets and performance

Comenco Company uses both number of jobs and number of meals as variable components in its cost and revenue formulas when preparing budgets and performance reports. Its revenue formula is a fixed $570 per month plus $110 per job plus $25 per meal. The company expected its activity in October to be 30 jobs and 180 meals, but the actual activity was 32 jobs and 220 meals. The actual revenue for October was $8,500. The amount of revenue in Comencos flexible budget for October would be:

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  • $8,370

  • $9,020

  • $9,590

  • $8,500

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