Prestridge Corporation Is a Service Company That Measures Its Output

question 312

Multiple Choice

Prestridge Corporation is a service company that measures its output by the number of customers served. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results of operations for August. When the company prepared its planning budget at the beginning of August, it assumed that 31 customers would have been served. However, 29 customers were actually served during August.The activity variance for net operating income for August would have been closest to:

• A) $5,200 F
• B) $4,100 U
• C) $5,200 U
• D) $4,100 F

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Definitions:

Forces and Energies

The physical entities or components responsible for causing motion, changes, or stability in physical systems.

Sociobiology

A field that explores the biological underpinnings of social behavior across species, often looking at how evolutionary processes influence social structures and behaviors.

Gender and Sexuality

Interrelated concepts where gender refers to roles, behaviors, activities, expectations, and societal norms associated with being male or female, and sexuality concerns a person’s sexual orientation, preferences, and identity.

Society

A group of individuals involved in persistent social interaction, or a large social group sharing the same geographical or social territory, typically subject to the same political authority and dominant cultural expectations.