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Calculate the total variable cost for indirect labour

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Reference no: EM133029615

Question -  Cahaya Sdn Bhd is a small business located in Samarahan, which produces fresh coconut canned drinks. The following table shows the monthly overhead report for indirect labour cost budget for the month of July 2021:

 

Budgeted (RM)

Actual (RM)

Indirect labour

28,000

30,000

Production in units

200,000

220,000

The indirect labour consists of RM6,000 wages paid to the production supervisor. Calculate the total variable cost for indirect labour based on flexible budget?

A. RM28,000

B. RM30,800

C. RM24,200

D. RM22,000

Reference no: EM133029615

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