ACC 281 quiz 5-90

Question 90 1/1pts Grinzaid Home Nursing specializes in home nursing services. It bases its overhead on the flexible budget cost function of $33,000 + ($2.40 x labor hours). Normal volume is based on 12,000 labor hours. Standards call for 2 labor hours per patient visited. For the current period, the operating results were as follows: Actual labor hours worked 11,400 Patient visits 5,800 Actual variable overhead costs $28,460 Actual fixed overhead costs $31,950 How much of the budget variance is due to fixed costs? -27,790