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Ruozzo Corporation is a service company that measures its output by the number of customers served. The company has provided the following fixed and variable
Ruozzo Corporation is a service company that measures its output by the number of customers served. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results of operations for July.
Fixed Element per Month Variable Element per Customer Served Actual Total for July
Revenue $ $
Employee salaries and wages $ $ $
Travel expenses $ $
Other expenses $ $
When the company prepared its planning budget at the beginning of July, it assumed that customers would have been served. However, customers were actually served during July.
The spending variance for Travel expenses for July would have been closest to:
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