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11. At Stolen Horse Corporation, indirect labor is a variable cost that varies with direct...

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Accounting

11. At Stolen Horse Corporation, indirect labor is a variable cost that varies with direct labor hours. Last month's flexible budget performance report showed that actual indirect labor cost totaled $2,056 for the month and 5,140 direct labor hours were actually worked. The report also showed the spending variance for indirect labor was $257 unfavorable and the activity variance for indirect labor was $28 favorable. What was the amount of direct labor hours Stolen Horse budgeted for last month? a. 4,568 hours b. 5,078 hours c. 5,220 hours d. 5,713 hours e. None of the above

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