Question

Cadavieco Detailing's cost formula for its materials and supplies is $1,990 per month plus $8 per vehicle. For the month of November, the company planned for activity of 92 vehicles, but the actual level of activity was 52 vehicles. The actual materials and supplies for the month was $2,440.

Required:
a) The materials and supplies in the planning budget for November would be closest to ______________.

Answer 1

The materials and supplies in the planning budget for November would be $2.726‬

Step-by-step explanation:

November forecast of activity is 92 vehicles

Materials and supplies=$1,990 + $8*x

Materials and supplies(November)=$1,990 + $8*92

Materials and supplies(November)=$2.726‬

Answer 2

The materials and supplies in the planning budget for November would be closest to $2726

Step-by-step explanation:

The planned cost for materials and supplies is given by:

= $1,990 + ($8 per vehicle * number of planned vehicles)

= $1,990 + ($8 * 92 vehicles)

=$ 2726