1. Management has studied work patterns in the housekeeping department and estimates the number of hours to be worked as follows. Hours worked = (1,500 hours per month) + (0.50 RVUs). For the coming month, management expects RVUs to be 5,800. What should budgeted labor for the month be?

2, Last year the price for thermometer covers in a pediatricians office was $.05 each. This year, the covers cost $.06 each. If the office purchased 10,000 thermometer covers this year, what is the price variance?