Walter, a Luthier, Is Assigned with the Task of Building

Multiple Choice

Walter, a luthier, is assigned with the task of building ten apartments in six months. He is given a budget of $1,500,000 to buy the necessary raw materials required for building ten apartments of same quality. In a period of four months, Walter is able to complete 75 percent of the work and spends $1,250,000 in the process. The project that Walter is working on has a spending variance of _____.

A) $350,000
B) $150,000
C) $430,000
D) $125,000
E) $500,000