Static budgets and flexible budgets

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Bunnie's Bakery anticipated making 17,000 fancy cakes during a recent period, requiring 14,000 hours of process time. Each hour of process time was expected to cost the firm $11. Actual activity for the period was higher than anticipated: 18,000 cakes and 15,200 hours. If each hour of process time actually cost Bunnie $12, what process-time variance would be disclosed on a performance report that incorporated static budgets and flexible budgets?

 

Static

Flexible

A.

$19,341U

$19,341U

B.

$19,341U

$28,400U

C.

$28,400U

$19,341U

D.

$28,400U

$28,400U

E.

None of the other answers are correct.

Please also show me the works, thank you

Reference no: EM13974119

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