Enriques Corporation Manufactures and Sells a Single Product

question 135

Multiple Choice

Enriques Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During February, the company budgeted for 5,000 units, but its actual level of activity was 4,990 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for February:
-The activity variance for selling and administrative expenses in February would be closest to:

• A) $1,308 F
• B) $1,308 U
• C) $2 U
• D) $2 F

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