Harold Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During March, the company budgeted for 7,900 units, but its actual level of activity was 7,860 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for March:Data used in budgeting: Fixed element per monthVariable element per unitRevenue - $39.80      Direct labor$0 $7.70Direct materials 0  18.00Manufacturing overhead 38,200  1.50Selling and administrative expenses 27,400  0.50Total expenses$65,600 $27.70?Actual results for March:  Revenue$297,318Direct labor$59,962Direct materials$135,850Manufacturing overhead$51,370Selling and administrative

expenses$31,950?The selling and administrative expenses in the planning budget for March would be closest to:

A. $32,113
B. $31,330
C. $31,350
D. $31,950


Answer: C

Business

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