Answer the Following Questions Using the Information Below:
Genent Company

Multiple Choice

Answer the following questions using the information below:
Genent Company manufactures tires. Some of the company's data was misplaced. Use the following information to replace the lost data:
$\begin{array}{|l|r|r|r|r|r|}\hline &\text { Actual } & \text { Flexible Budget } & \text { Flexible } & \text { Sales-Volume } & \text { Static } \\&\text { Results } & \text { Variances } & \text { Budget } & \text { Variances } & \text { Budget } \\\hline\text { Units sold } & 495,000 & & 495,000 & & 453,750 \\\hline \text { Revenues } & \$ 185,150 & \$ 4,400 \mathrm{~F} & (\mathrm{~A}) & \$ 6,160 \mathrm{U} & (\mathrm{B}) \\\hline \text { Variable } & & & & & \\\text { costs } & (\mathrm{C}) & \$ 880 \mathrm{U} & \$ 69,780 & \$ 10,300 \mathrm{~F} & \$ 88,080 \\\hline \text { Fixed costs } & \$ 36,430 & \$ 3,770 \mathrm{~F} & \$ 40,200 & 0 & \$ 40,200 \\\hline \text { Operating } & & & & & \\\text { income } & \$ 78,060 & (\mathrm{D}) & \$ 70,770 & (\mathrm{E}) & \$ 66,630\\\hline\end{array}$
-What is the total static-budget variance?

A) $11,430 favorable
B) $7,290 favorable
C) $4,140 unfavorable
D) $4,140 favorable