Harold's Roof Repair has provided the following data concerning its costs:
|
Fixed Cost
per Month |
|
Cost per Repair-Hour |
| Wages and salaries |
$ |
20,700 |
|
$ |
15.00 |
| Parts and supplies |
|
|
|
$ |
7.00 |
| Equipment depreciation |
$ |
2,800 |
|
$ |
.30 |
| Truck operating expenses |
$ |
5,750 |
|
$ |
1.50 |
| Rent |
$ |
4,650 |
|
|
|
| Administrative expenses |
$ |
3,840 |
|
$ |
.40 |
|
|
For example, wages and salaries should be $20,700 plus $15.00 per repair-hour. The company expected to work 2,600 repair-hours in June, but actually worked 2,500 repair-hours. The company expects its sales to be $45.00 per repair-hour.
|
| Required: |
|
Compute the company's activity variances for June. (Input all amounts as positive values. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)
|