Lartey Corporation's Cost Formula for Its Selling and Administrative Expense

question 381

Multiple Choice

Lartey Corporation's cost formula for its selling and administrative expense is $22,200 per month plus $27 per unit. For the month of December, the company planned for activity of 5,300 units, but the actual level of activity was 5,270 units. The actual selling and administrative expense for the month was $168,150. The selling and administrative expense in the flexible budget for December would be closest to:

• A)$164,364
• B)$164,490
• C)$165,300
• D)$168,150

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Peanuts

Edible legumes or seeds enclosed in a hard shell, often consumed as a snack, used in cooking, or processed for oil.

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Organic molecules made up of amino acids that are essential for many processes in living organisms, including catalysis of metabolic reactions and DNA replication.

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