The Sofa Manufacturing Company has determined that wages and salaries can be estimated using the cost formula of $1,380
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The Sofa Manufacturing Company has determined that wages and salaries can be estimated using the cost formula of $1,380
The Sofa Manufacturing Company has determined that wages andsalaries can be estimated using the cost formula of $1,380 permonth plus $238 per sofa. The company had estimated that they wouldproduce 103 sofas in the Month of March, but they actually produced99 sofas. The actual wages and salaries incurred during March was$25,940. For the month of March, the activity variance for wagesand salaries would be: