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An unfavorable activity variance for revenue indicates that activity was less than expected when the static planning budget was developed.

A shipping container refurbishment company measures its output by the number of containers refurbished. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results of operations for October. Fixed Element per MonthVariable Element per Container RefurbishedActual Total for OctoberRevenue $ 4,100$ 158,600Employee salaries and wages$ 50,600$ 1,100$ 92,700Refurbishing materials $ 700$ 27,000Other expenses$ 41,200 $ 40,800When the company prepared its planning budget at the beginning of October, it assumed that 40 containers would have been refurbished. However, 38 containers were actually refurbished.The revenue variance in the Revenue and Spending Variances column of a report comparing actual results to the flexible budget would have been closest to:

Spending variances from the flexible budget can be divided into two parts and standards used to:

In a manufacturing company, the total manufacturing costs added to production are made up of (pick the most complete answer):

A revenue variance is unfavorable if the actual revenue is less than the revenue in the flexible budget.

The following materials standards have been established for a particular product:Standard quantity per unit of output                   5.3    metersStandard price                                                    $17.20   per meterThe following data pertain to operations concerning the product for the last month:Actual materials purchased8,100 metersActual cost of materials purchased$ 141,345Actual materials used in production7,600 metersActual output1,400 unitsWhat is the materials price variance for the month?

Which of the following costs at a manufacturing company would be treated as a product cost under both absorption and variable costing?

An unfavorable materials quantity variance in standard costing indicates that:

A snow removal company’s cost formula for its supplies cost is $1,790 per month plus $10 per driveway. For the month of January, the company planned for activity of 619 driveways, but the actual level of activity was 624 driveways. The actual supplies cost for the month was $8,500. The activity variance for supplies cost for the month would be closest to:

Airline One uses two measures of activity, flights and passengers, in the cost formulas in its budgets and performance reports. The cost formula for plane operating costs is $40,890 per month plus $2,779 per flight plus $17 per passenger. The company expected its activity in December to be 95 flights and 307 passengers, but the actual activity was 98 flights and 310 passengers. The actual cost for plane operating costs in August was $262,190.The plane operating costs in the planning budget for August would be closest to: