Rients Corporation Is a Service Company That Measures Its Output

question 252

Multiple Choice

Rients 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 October.
When the company prepared its planning budget at the beginning of October, it assumed that 39 customers would have been served. However, 44 customers were actually served during October.
-The revenue variance in the Revenue and Spending Variances column of a report comparing actual results to the flexible budget for October would have been closest to:

• A) $23,000 U
• B) $23,000 F
• C) $2,500 F
• D) $2,500 U

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Definitions:

Social Problems

Issues within a society that are recognized by a significant number of people as contrary to their values.

Choice Overload

A cognitive process in which people struggle to make a decision when faced with many options, potentially leading to decision fatigue.

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The feeling of remorse or guilt that occurs after making a decision, particularly if the outcome is negative or not as expected.

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The cognitive and emotional capabilities that an individual can draw upon to handle tasks, stress, and demands in life.