Genito Corporation's Static Planning Budget for October Appears Below

question 253

Multiple Choice

Genito Corporation's static planning budget for October appears below. The company bases its budgets on machine-hours. In October, the actual number of machine-hours was 8,800, the actual supplies cost was $69,450, the actual power cost was $34,190, the actual salaries cost was $86,490, and the actual equipment depreciation was $37,600.
-The spending variance for supplies cost in the flexible budget performance report for the month should be:

• A) $4,500 F
• B) $7,110 F
• C) $7,110 U
• D) $4,500 U

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