Debit Advertising expense $400, credit accounts payable 400.
People who work in human services help people overcome obstacles and access services such as counseling, therapy and rehabilitation. They work to improve the lives of those in need who are most in need of these services.
Answer:
$288 (F)
Explanation:
In order to calculate activity variance we subtract actual results from the flexible budget. Moreover, the flexible budget is determined by taken into account both fixed and variable expense of the activity. This is shown below:
Flexible Budget of Selling and Administrative Expense = 25,900 + (2.1 x 5,980) = $38,458
Variance = 38,170 - 38,458 = $288 (F)
Because the actual expense is less than the flexible budget, the variance is favorable (F).
Note: Variable flexible budget is calculated by multiplying the variable rate with the actual units produced.
Answer: Functional departmentalization
Explanation: In a functional departmentalization structure, the company tries to organize the employees into groups based upon the specific skills they possess. The activities performed by such groups are different from each other but the employees within groups performs the same task.
In the given case, the manager is dividing the company as per the purchase,serving and home delivery etc. It is evident that the grouping is done upon the specific activities to be performed.
Hence we can conclude that the correct option is B.
