Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Peixoto Framing's cost formula for its supplies cost is $1,150 per month plus $14 per frame. For the month of July, the company planned for

Peixoto Framing's cost formula for its supplies cost is $1,150 per month plus $14 per frame. For the month of July, the company planned for activity of 556 frames, but the actual level of activity was 555 frames. The actual supplies cost for the month was $9,190. The supplies cost in the planning budgetfor July would be closest to:

A.$8,920

B.$9,207

C.$8,934

D.$9,190

Wexell Framing's cost formula for its supplies cost is $1,230 per month plus $10 per frame. For the

month of October, the company planned for activity of 592 frames, but the actual level of activity was

597 frames. The actual supplies cost for the month was $7,050. The activity variance for supplies

cost in October would be closest to:

A.$50 F

B.$50 U

C.$100 F

D.$100 U

Danoff Midwifery's cost formula for its wages and salaries is $1,540 per month plus $497 per birth.

For the month of March, the company planned for activity of 112 births, but the actual level of activity

was 107 births. The actual wages and salaries for the month was $56,850. The activity variance for

wages and salaries in March would be closest to:

A.$2,485 U

B.$354 U

C.$2,485 F

D.$354 F

Dus 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 $400 per month plus $89 per job plus

$10 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 March to be 11 jobs and 81 meals, but the actual

activity was 7 jobs and 76 meals. The actual cost for catering supplies in March was $1,810. The

activity variance for catering supplies in March would be closest to:

A.$406 U

B.$406 F

C.$379 F

D.$379 U

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Quality Audit In Health Care To Avoid Disallowances Literature Review

Authors: Ana P. Alves De Asevedo

1st Edition

6206120406, 978-6206120407

More Books

Students also viewed these Accounting questions

Question

Why could the Robert Bosch approach make sense to the company?

Answered: 1 week ago