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Mcquain Boat Wash's Cost Formula for Its Cleaning Equipment and Supplies

Question 28

Multiple Choice

Mcquain Boat Wash's cost formula for its cleaning equipment and supplies is $1,950 per month plus $20 per boat. For the month of June, the company planned for activity of 85 boats, but the actual level of activity was 125 boats. The actual cleaning equipment and supplies for the month was $4,380.
-The spending variance for cleaning equipment and supplies in June would be closest to:


A) $730 U
B) $70 U
C) $70 F
D) $730 F

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