Herard Corporation Manufactures and Sells a Single Product

Multiple Choice

Herard Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During March, the company budgeted for 7,900 units, but its actual level of activity was 7,890 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for March:

Data used in budgeting:
Actual results for March:
-The direct materials in the flexible budget for March would be closest to:

A) $117,847
B) $119,928
C) $117,549
D) $120,080