Bunnie's Bakery Anticipated Making 17,000 Fancy Cakes During a Recent

Multiple Choice

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?

A) Choice A
B) Choice B
C) Choice C
D) Choice D
E) Choice E