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Tasty Company operates four food trucks which mainly serve food near stadiums prior to sporting events and concerts It prepares monthly budgets. At the end

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Tasty Company operates four food trucks which mainly serve food near stadiums prior to sporting events and concerts It prepares monthly budgets. At the end of each month the accounting department prepares a "performance report. Tasty Company uses customers served as its measure of activity. Planning (static) budget amounts and actual results for the month of June are given in the table below Complete the performance report (table) given below and then answer the question which follows below the table. Actual Revenue Flexible-budget Activity Planning Total Results& Variances (Static) Varianc Spending Variances Budget Customers 10,600 served (q) 10,000 Revenue $99,640 $90,000 ($9.00q) Expenses Wages and $30,020 salaries ($12,000+ $1.50q) $27000 $42,000 COGS ($4.20a) $42,930 $5,300 Insurance $5,400 ($5,300) $2,530 $3.500 Miscellaneous ($2,000+ $15q) $80.880 $77800 Total expenses $12 200 Net operating $18.760 income The total variance can always be broken down into two components, an "act ivity variance and a "revenue & spending" variance Which one of the following is true for the 'Miscellaneous" cost variances for Tasty Company for the month of June? Revenue & Spending Variance Activity Variance Favorable Favorable Unfavorable Unfavorable A. Favorable Unfavorable Favorable Unfavorable C. Multiple Choice D*

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