Casper Concrete Manufactures Custom Concrete Countertops for Restaurants and Individual

question 114

Multiple Choice

Casper Concrete manufactures custom concrete countertops for restaurants and individual homeowners.Casper's actual fixed overhead for the year was $86,600.During the year Casper produced 8,500 square feet of countertop and used 4,420 direct labor hours.Casper had budgeted to produce 9,000 square feet of countertop and had budgeted to use 4,500 direct labor hours.Casper's fixed overhead spending variance was $1,200 unfavorable for the year.What was Casper's budgeted fixed overhead for the year if necessary,round your ans to the nearest dollar?

• A) $87,800
• B) $85,400
• C) $88,167
• D) $86,967

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Definitions:

Labor Surplus

A situation in the labor market where the supply of labor exceeds the demand for labor, often leading to unemployment or underemployment.

Transfers

The process of moving employees from one job, location, or department to another within the same organization.

Early Retirement

The act of leaving the workforce before the traditional retirement age, often with incentive packages offered by employers.

Labor Surplus

A situation where the number of available workers exceeds the number of available jobs, often leading to unemployment or underemployment.