Baugus Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During August, the company budgeted for 6,900 units, but its actual level of activity was 6,950 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for August:
-The activity variance for direct labor in August would be closest to:
A) $1,220 F
B) $210 U
C) $210 F
D) $1,220 U

Question

Baugus Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During August, the company budgeted for 6,900 units, but its actual level of activity was 6,950 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for August: 
-The activity variance for direct labor in August would be closest to:
A) $1,220 F 
B) $210 U 
C) $210 F 
D) $1,220 U

Quizplus · Accepted Answer

The Answer of Baugus Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During August, the company budgeted for 6,900 units, but its actual level of activity was 6,950 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for August: 
-The activity variance for direct labor in August would be closest to:
A) $1,220 F 
B) $210 U 
C) $210 F 
D) $1,220 U

Baugus Corporation Manufactures and Sells a Single Product