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Herrod Catering uses two measures of activity, jobs and meals, in the cost formulas in its budgets and performance reports. The cost formula for catering
Herrod Catering uses two measures of activity, jobs and meals,
in the cost formulas in its budgets and performance reports. The
cost formula for catering supplies is $ per month plus $ per
job plus $ per meal. A typical job involves serving a number of
meals to guests at a corporate function or at a host's home. The
company expected its activity in December to be jobs and
meals, but the actual activity was jobs and meals. The
actual cost for catering supplies in December was $ The
spending variance for catering supplies in December would be
closest to:
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