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  3. moka coffee shop had the following budget based on

Moka Coffee Shop had the following budget based on the sale of 1,000 coffees. Moka...

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Accounting

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Moka Coffee Shop had the following budget based on the sale of 1,000 coffees. Moka Coffee Shop actually sold 2,100 coffees. Use the flexible budget you created in Part I to answer the spending and activity variances below. Format your variances as follows: - If you have an unfavorable variance, put a U right after the amount. For example: 10U (no dollar signs!) - If you have a favorable variance, put a F right after the amount. For example: 10F (no dollar signs!) - Your amount should be in absolute value. No -, (), etc. - If the variance is 0 , then just write: 0 . True or False: 1. If Moka had a favorable activity variance for coffee beans, that means the company must have spent less to purchase the coffee beans from a supplier than it originally budgeted 2. If there is a difference in actuals versus the original budget for a fixed cost, then that difference is related to spending and not activity variance. 3. If Moka had an unfavorable spending variance for utilities, that means that the company must have just sold more coffees than it originally budgeted

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