At 9,000 direct labor hours, the flexible budget for indirect materials is $18,000. - 10529

Solution Posted by
yousafbhutta

yousafbhutta

Rating : (28)C
Solution Detail
Price: $0.50
  • From: Business,
  • Posted on: Tue 29 May, 2012
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Request Description

 

At 9,000 direct labor hours, the flexible budget for indirect materials is $18,000. If $18,700 is incurred at 9,200 direct labor hours, the flexible budget report should show the following difference for indirect materials 

A

$700 unfavorable

B

$700 favorable

C

$300 favorable

D

$300 unfavorable

 

Solution Description

 

At 9,000 direct labor hours, the flexible budget for indirect materials is $18,000. If $18,700 is incurred at 9,200 direct labor hours, the flexible budget report should show the following difference for indirect materials