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Fudala Snow Removal's Cost Formula for Its Vehicle Operating Cost

Question 217

Multiple Choice

Fudala Snow Removal's cost formula for its vehicle operating cost is $1,480 per month plus $308 per snow-day.For the month of March,the company planned for activity of 11 snow-days,but the actual level of activity was 16 snow-days.The actual vehicle operating cost for the month was $6,130.The spending variance for vehicle operating cost in March would be closest to:


A) $1,262 U
B) $278 F
C) $278 U
D) $1,262 F

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