Ruozzo Corporation Is a Service Company That Measures Its Output

question 13

Multiple Choice

Ruozzo 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 July.
When the company prepared its planning budget at the beginning of July, it assumed that 27 customers would have been served. However, 22 customers were actually served during July.
-The spending variance for "Travel expenses" for July would have been closest to:

• A) $2,000 F
• B) $2,000 U
• C) $500 F
• D) $500 U

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Definitions:

Impatience

A tendency to be quickly irritated or provoked by delays or obstacles.

Generalized Cultural Value

Broadly accepted cultural norms and values that transcend individual societies, serving as a guide for social behavior and expectations.

Personal Health Promotion

Self-directed actions or behaviors aimed at improving or maintaining an individual's health and well-being.

Preferences

Individual tastes or choices regarding a variety of options, such as products, activities, or approaches.