obriga Corporation uses customers served as its measure of activity. During October, the company budgeted for 29,000 customers, but actually served 33,000 customers. The company has provided the following data concerning the formulas used in its budgeting and its actual results for October Data used in budgeting: Fixed element per month Variable element per customer Revenue $0 $ 2.90 Wages and salaries $25,500 $ 0.80 Supplies $0 $0.30 Insurance $ 6,000 $ 0.00 Miscellaneous expense $ 3.700 $ 0.40 Actual results for October: Revenue $ 94,500 Wages and salaries $ 51,100 Supplies $ 12,100 Insurance $ 3.600 Miscellaneous expense $ 16,900 Required: Prepare a report showing the company's revenue and spending variances for October. Label each variance as favorable (F) or unfavorable (U).
