Mouton Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During July, the company budgeted for 7,300 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 July:

Data used in budgeting:
Actual results for July:
-The activity variance for selling and administrative expenses in July would be closest to:
A)$20 U
B)$20 F
C)$720 U
D)$720 F

Question

Mouton Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During July, the company budgeted for 7,300 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 July:

Data used in budgeting:

Actual results for July:

-The activity variance for selling and administrative expenses in July would be closest to:

Data used in budgeting:
 Actual results for July: 
-The activity variance for selling and administrative expenses in July would be closest to:
A)$20 U 
B)$20 F 
C)$720 U 
D)$720 F

Quizplus · Accepted Answer

The Answer of Mouton Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During July, the company budgeted for 7,300 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 July:

Data used in budgeting:
 Actual results for July: 
-The activity variance for selling and administrative expenses in July would be closest to:
A)$20 U 
B)$20 F 
C)$720 U 
D)$720 F

Mouton Corporation Manufactures and Sells a Single Product