Fudala Snow Removal's Cost Formula for Its Vehicle Operating Cost

question 217

Multiple Choice

Fudala Snow Removal's cost formula for its vehicle operating cost is $1,480 per month plus $308 per snow-day.For the month of March,the company planned for activity of 11 snow-days,but the actual level of activity was 16 snow-days.The actual vehicle operating cost for the month was $6,130.The spending variance for vehicle operating cost in March would be closest to:

• A)$1,262 U
• B)$278 F
• C)$278 U
• D)$1,262 F

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