Community General Hospital Has a Food Services Department That Provides

Multiple Choice

Community General Hospital has a Food Services Department that provides meals for all patients in the hospital. Budgeted and actual meals served for the month just ended are: The budgeted variable cost of meals for the month just ended was $100,000; the actual variable cost of meals for the month was $130,000.
-How much of the $130,000 actual Food Services cost for the month just completed should be kept in the Food Services Department and not charged to the other departments?

A) $30,000
B) $5,000
C) $4,000
D) $0