Danoff Midwifery's Cost Formula for Its Wages and Salaries Is

question 175

Multiple Choice

Danoff Midwifery's cost formula for its wages and salaries is $1,540 per month plus $497 per birth. For the month of March, the company planned for activity of 112 births, but the actual level of activity was 107 births. The actual wages and salaries for the month was $56,850. The activity variance for wages and salaries in March would be closest to:

• A)$2,485 U
• B)$354 U
• C)$2,485 F
• D)$354 F

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