Dus Catering uses two measures of activity, jobs and meals, in the cost formulas in its budgets and performance reports. The cost formula for catering supplies is $400 per month plus $89 per job plus $10 per meal. A typical job involves serving a number of meals to guests at a corporate function or at a host's home. The company expected its activity in March to be 11 jobs and 81 meals, but the actual activity was 7 jobs and 76 meals. The actual cost for catering supplies in March was $1,810. The activity variance for catering supplies in March would be closest to:
A)$406 U
B)$406 F
C)$379 F
D)$379 U

Question

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The Answer of Dus Catering uses two measures of activity, jobs and meals, in the cost formulas in its budgets and performance reports. The cost formula for catering supplies is $400 per month plus $89 per job plus $10 per meal. A typical job involves serving a number of meals to guests at a corporate function or at a host's home. The company expected its activity in March to be 11 jobs and 81 meals, but the actual activity was 7 jobs and 76 meals. The actual cost for catering supplies in March was $1,810. The activity variance for catering supplies in March would be closest to:
A)$406 U
B)$406 F
C)$379 F
D)$379 U

Dus Catering Uses Two Measures of Activity, Jobs and Meals