Ramkissoon Midwifery's Cost Formula for Its Wages and Salaries Is

question 468

Multiple Choice

Ramkissoon Midwifery's cost formula for its wages and salaries is $2,060 per month plus $442 per birth. For the month of July, the company planned for activity of 117 births, but the actual level of activity was 114 births. The actual wages and salaries for the month was $54,500. The spending variance for wages and salaries in July would be closest to:

• A) $726 U
• B) $2,052 F
• C) $2,052 U
• D) $726 F