Riya Corporation's static planning budget for November appears below. The company bases its budget on machine hours. Budgeted number of machine hours 5,800 Supplies (@$2.50 per machine-hour) $14,500 Power (@$7.50 per machine-hour) $43,500 Salaries Equipment depreciation Total $16,200 $60,800 $135,000 In November, the actual number of machine hours was 6,200, the actual supplies cost was $15,700, the actual power cost was $46,720, the actual salaries cost was $16,200, and the actual equipment depreciation was $61,900. The spending variance for power cost in the flexible budget performance report for the month should be:

Riya Corporation's static planning budget for November appears below. The company bases its budget on machine hours. Budgeted number of machine hours 5,800 Supplies (@$2.50 per machine-hour) $14,500 Power (@$7.50 per machine-hour) $43,500 Salaries Equipment depreciation Total $16,200 $60,800 $135,000 In November, the actual number of machine hours was 6,200, the actual supplies cost was $15,700, the actual power cost was $46,720, the actual salaries cost was $16,200, and the actual equipment depreciation was $61,900. The spending variance for power cost in the flexible budget performance report for the month should be:

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 9E: Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost...

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