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Felicetti Corporation bases its budgets on the activity measure customers served.During November,the company planned to serve 21,000 customers.The company has provided the following data concerning the formulas it uses in its budgeting:
The company has also furnished its income statement for November
Required:
Prepare a report showing the company's activity variances for November.Indicate in each case whether the variance is favorable (F)or unfavorable (U).
Complementary Goods
are products or services that are used together, where the use or consumption of one increases the demand for the other.
Close-Substitute
A good or service that can easily replace another in satisfying consumer needs, with very little change in consumption patterns.
Consumer Preferences
The tastes, preferences, and priorities that individuals have regarding the consumption of goods and services.
Close-Substitute
A product or service that can easily replace another in the consumption preferences of consumers due to its similarity.
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