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A regional not-for-profit organization builds homes for low-income families in need of safe and affordable housing. The organization must hire contractors to oversee the construction
A regional not-for-profit organization builds homes for low-income families in need of safe and affordable housing. The organization must hire contractors to oversee the construction of these homes. During the past year, the organization spent more than expected on contractors and the manager is trying to figure out what factors led to this increase in expenses. The organization had expected to build 50 homes, hire contractors for a total of 2,000 hours, and spend $70,000; however, the organization was actually able to build 55 homes during the past year, and they hired contractors who worked 2,090 hours in total at an hourly rate of $37. Fill in the following blanks: [Note: Be sure to indicate unfavorable variances with a negative sign, e.g. -54.67. Do not use parentheses. Round your numbers to TWO decimal places, e.g. 54.12.] A) The volume variance is $ B) The quantity variance is $ C) The price variance is $ D) Of the 3 variances you calculated above, how many were unfavorable? [write 0 or 1 or 2 or 3] E) How much did the organization budget to pay per hour? $ F) How many hours did the organization actually spend to build a home on average
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