Prokp Co.\'s records for April disclosed the following data relating to direct l
ID: 2454599 • Letter: P
Question
Prokp Co.'s records for April disclosed the following data relating to direct labor: Actual labor cost/payroll for April $19,000 Labor rate variance $3,800 favorable Labor efficiency variance $2,310 unfavorable Actual direct labor hours worked (AQ) 1,000 Prokp's total flexible budget variance cost for the output in April was: $1,490 unfavorable $2,310 unfavorable $3,800 favorable $1,490 favorable $1,990 favorable Prokp Co.'s records for April disclosed the following data relating to direct labor: Actual labor cost/payroll for April $19,000 Labor rate variance $3,800 favorable Labor efficiency variance $2,310 unfavorable Actual direct labor hours worked (AQ) 1,000 Prokp's total flexible budget variance cost for the output in April was: $1,490 unfavorable $2,310 unfavorable $3,800 favorable $1,490 favorable $1,990 favorableExplanation / Answer
Calculation of total flexible budget variance cost:
Total flexible budget variance cost = Labor rate variance + Labor efficiency variance
= $3800 favorable + $2310 unfavorable
= $1490 favorable
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