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Piechockl Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During May,
Piechockl Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During May, the company budgeted for 8,100 units, but its actuat level of activity was 8150 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for May Data used in budgeting Fixed element per month $0 50 Revenue Direct labor Direct materials Manufacturing overhead Selling and administrative expenses Total expenses Variable element per unit $ 35.60 $6.20 12.20 1.90 0.20 $ 20.50 38,000 26.900 $ 64,900 Actual results for May Revenue Direct labor Direct materials Manufacturing overhead Selling and administrative expenses $ 288,600 $ 49,990 $ 92,335 $ 50, 500 $ 30,610 The activity variance for direct labor in May would be closest to
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