What the budgeted maintenance cost per machine-hour was

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Problem 1: At Cady Company, maintenance is a variable cost that varies directly with machine-hours. The performance report for June showed that actual maintenance costs totaled P9,600 and that the associated spending variance was P400 unfavorable. If 8,000 machine-hours were actually worked during June, the budgeted maintenance cost per machine-hour was

Option 1: P1.30

Option 2: P1.25

Option 3: P1.20

Option 4: P1.15

Option 5: Answer not given

Reference no: EM132746807

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