Answer the Following Questions Using the Information Below:
Genent Company

question 53

Multiple Choice

Answer the following questions using the information below:
Genent Company manufactures tires. Some of the company's data was misplaced. Use the following information to replace the lost data:
$\begin{array}{|l|r|r|r|r|r|}\hline &\text { Actual } & \text { Flexible Budget } & \text { Flexible } & \text { Sales-Volume } & \text { Static } \\&\text { Results } & \text { Variances } & \text { Budget } & \text { Variances } & \text { Budget } \\\hline\text { Units sold } & 495,000 & & 495,000 & & 453,750 \\\hline \text { Revenues } & \$ 185,150 & \$ 4,400 \mathrm{~F} & (\mathrm{~A}) & \$ 6,160 \mathrm{U} & (\mathrm{B}) \\\hline \text { Variable } & & & & & \\\text { costs } & (\mathrm{C}) & \$ 880 \mathrm{U} & \$ 69,780 & \$ 10,300 \mathrm{~F} & \$ 88,080 \\\hline \text { Fixed costs } & \$ 36,430 & \$ 3,770 \mathrm{~F} & \$ 40,200 & 0 & \$ 40,200 \\\hline \text { Operating } & & & & & \\\text { income } & \$ 78,060 & (\mathrm{D}) & \$ 70,770 & (\mathrm{E}) & \$ 66,630\\\hline\end{array}$
-What is the total flexible-budget variance (D) ?

• A) $240 unfavorable
• B) $0
• C) $1,360 favorable
• D) $7,290 favorable

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Definitions:

Rational Analyze

Rational analyze means examining facts, figures, and circumstances logically and systematically to make reasoned decisions.

Human Resources

The department within an organization that manages recruitment, administration, and training of staff, as well as fostering a positive work environment.

Investment Activities

Actions undertaken by individuals or entities to allocate resources, often money, with the expectation of generating a future benefit or profit.

Goods and Services

The tangible products (goods) and intangible activities (services) that satisfy human wants or needs and are offered in the marketplace.