Question - Menson Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During December, the company budgeted for 5,800 units, but its actual level of activity was 5,830 units. The company has provided the following data concerning the formulas to be used in its budgeting:
1. The direct labor in the planning budget for December would be closest to:
$45,820
$46,057
$43,701
$43,927
2. The selling and administrative expenses in the planning budget for December would be closest to:
$23,988
$23,865
$24,880
$24,898
3. The net operating income in the planning budget for December would be closest to:
$19,788
$25,238
$24,979
$19,380