Bienestar, Inc., has done a cost analysis for its production of vests. The following activities and cost drivers have been developed: Following are the actual costs of producing 75,000 vests: 5,000 machine hours; 10 batches; 20 purchase orders
What is the budget variance for purchasing in an activity-based performance report?
A) $1,000 U
B) $2,000 U
C) $3,000 U
D) none of these

Question

Bienestar, Inc., has done a cost analysis for its production of vests. The following activities and cost drivers have been developed:  Following are the actual costs of producing 75,000 vests: 5,000 machine hours; 10 batches; 20 purchase orders
 What is the budget variance for purchasing in an activity-based performance report?
A) $1,000 U 
B) $2,000 U 
C) $3,000 U 
D) none of these

Quizplus · Accepted Answer

The Answer of Bienestar, Inc., has done a cost analysis for its production of vests. The following activities and cost drivers have been developed:  Following are the actual costs of producing 75,000 vests: 5,000 machine hours; 10 batches; 20 purchase orders
 What is the budget variance for purchasing in an activity-based performance report?
A) $1,000 U 
B) $2,000 U 
C) $3,000 U 
D) none of these