Letts Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 6,970 units. The company has provided the following data concerning the formulas to be used in its budgeting:

-The activity variance for cleaning equipment and supplies in September would be closest to:
A)$1,648 F
B)$1,700 F
C)$1,700 U
D)$1,648 U

Question

Letts Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 6,970 units. The company has provided the following data concerning the formulas to be used in its budgeting:

-The activity variance for cleaning equipment and supplies in September would be closest to:

-The activity variance for cleaning equipment and supplies in September would be closest to:
A)$1,648 F 
B)$1,700 F 
C)$1,700 U 
D)$1,648 U

Quizplus · Accepted Answer

The Answer of Letts Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 6,970 units. The company has provided the following data concerning the formulas to be used in its budgeting:

-The activity variance for cleaning equipment and supplies in September would be closest to:
A)$1,648 F 
B)$1,700 F 
C)$1,700 U 
D)$1,648 U

Letts Corporation Manufactures and Sells a Single Product