Fuquay Corporation Uses Customers Served as Its Measure of Activity

question 88

Essay

Fuquay Corporation uses customers served as its measure of activity.The company bases its budgets on the following information: Revenue should be $4.80 per customer served.Wages and salaries should be $26,500 per month plus $1.70 per customer served.Supplies should be $0.90 per customer served.Insurance should be $7,100 per month.Miscellaneous expenses should be $4,700 per month plus $0.20 per customer served.
The company reported the following actual results for May: Required:
Prepare a report showing the company's revenue and spending variances for May.Label each variance as favorable (F) or unfavorable (U).

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Definitions:

Explicit Memory

A type of long-term memory that involves conscious recollection of factual information, previous experiences, and concepts.

Flashbulb Memory

A highly detailed and vivid memory of an emotionally significant moment or event.

Reconstructive Memory

The process by which memories are pieced together from bits of information, often influenced by personal perception, emotion, and bias.

Recognition

The cognitive process of identifying a previously encountered stimulus.