The spending variance for the direct materials in May would be closest to:

A. 1400 F

B. 730 F

C. 1400 U

D. 730 U

TY in advance :)

Piechocki 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 7,400 units, but its actual level of activity was 7,350 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 Variable element per unit $34.90 Revenue Direct labor Direct materials Manufacturing overhead Selling and administrative expenses Total expenses $ 0 0 31,000 26, 200 $57,200 $ 5.50 13.40 2.40 0.20 $21.50 Actual results for May: Revenue $257,800 Direct labor $ 39,870 Direct materials $ 99, 890 Manufacturing overhead $ 47,000 Selling and administrative expenses $ 30,540