Dinham Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During March, the kennel budgeted for 4100 tenant-days, but its actual level of activity was 4130 tenant-days. The kennel 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 month Variable element per tenant-dayRevenue - $35.00?Wages and salaries$3000? $8.00?Food and supplies 2000? 14.50?Facility expenses 8500? 3.50?Administrative expenses 7000? 0.50?Total expenses$20,500? $26.50??Actual results for March: Revenue$133,251? Wages and salaries$28,600? Food and supplies$62,225? Facility
expenses$22,550? Administrative expenses$7100? The spending variance for food and supplies in March would be closest to:
A. $340 F
B. $340 U
C. $775 U
D. $775 F
Answer: B
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