Illescas Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During December, the company budgeted for 6,400 units, but its actual level of activity was 6,440 units. The company has provided the following data concerning the formulas to be used in its budgeting:

-The net operating income in the planning budget for December would be closest to:
A)$19,433
B)$18,940
C)$19,676
D)$19,544

Question

Illescas Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During December, the company budgeted for 6,400 units, but its actual level of activity was 6,440 units. The company has provided the following data concerning the formulas to be used in its budgeting:

-The net operating income in the planning budget for December would be closest to:

-The net operating income in the planning budget for December would be closest to:
A)$19,433 
B)$18,940 
C)$19,676 
D)$19,544

Quizplus · Accepted Answer

The Answer of Illescas Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During December, the company budgeted for 6,400 units, but its actual level of activity was 6,440 units. The company has provided the following data concerning the formulas to be used in its budgeting:

-The net operating income in the planning budget for December would be closest to:
A)$19,433 
B)$18,940 
C)$19,676 
D)$19,544

Illescas Corporation Manufactures and Sells a Single Product