Nobriga Corporation Uses Customers Served as Its Measure of Activity

question 340

Essay

Nobriga Corporation uses customers served as its measure of activity.During October,the company budgeted for 29,000 customers,but actually served 33,000 customers.The company has provided the following data concerning the formulas used in its budgeting and its actual results for October:
Data used in budgeting:
Actual results for October:
Required:
Prepare a report showing the company's revenue and spending variances for October.Label each variance as favorable (F)or unfavorable (U).

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