Hoppy Corporation compares a monthly flexible budget based on actual operating results to a static planning budget prepared at the beginning of the month. When the actual level of activity is higher than expected, which of the following would typically be expected? Variable costs would show unfavorable variances O Varable costs would show favorable variances O Fixed costs would show favorable varlances Fixed costs would show unfavorable variances. None of the above. Cosden Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Variable Fixed Element per Element per Month Well Serviced t Revenue $ 4.700 Employee salaries and wages $ 41,300 $ 1,00 Servicing materials 600 Other expenses 35,200 When the company prepared its planning budget at the beginning of May, it assumed that 29 wells would have been serviced. However, 31 wells were actually serviced during May. The total expenses in the flexible budget for May would have been closest to: O $133,100 $126,100 $127.900 $131.100 Comparing actual results to a budget based on the actual activity for the period is possible with the use of: a monthly budget a master budget a flexible budget. a rolling budget. O None of the above