Gilson Corporation Manufactures and Sells a Single Product

question 410

Multiple Choice

Gilson Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During April, the company budgeted for 5,100 units, but its actual level of activity was 5,060 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for April: Data used in budgeting: Actual results for April: The spending variance for direct materials in April would be closest to:

• A)$2,020 F
• B)$2,020 U
• C)$2,424 F
• D)$2,424 U

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Definitions:

Ferns

A group of non-flowering vascular plants that reproduce via spores and have leaves typically referred to as fronds.

Fronds

The leaf-like parts of ferns and some other plants, often large and divided into sections.

Homospory

Production of one type of spore that gives rise to a bisexual gametophyte. Compare with heterospory.

Morphological Type

Morphological Type refers to the classification of organisms based on their physical form and structure, which includes their shape, size, and other visible attributes.