Question: A firm has two substitutable labor inputs (Worker Type A and Worker Type B) for its finished goods units. Typically the firm uses 4 hours

A firm has two substitutable labor inputs (Worker Type A and Worker Type B) for its finished goods units. Typically the firm uses 4 hours of Worker Type A for every 3 hours of Worker Type B. The firm produces 10 finished goods units for every 7 total hours of labor.

Worker A standard price is $15.00 per hour

Worker B standard price is $20.00 per hour

Worker A actual price is $13.00 per hour

Worker B actual price is $19.00 per hour

This period, the firm instead actually used 18,000 hours of Worker Type A and 17,000 hours of Worker B (producing 50,000 units of finished goods).

What is the firm's mix variance for this product this period (round to nearest cent if necessary)?

Group of answer choices

$10,000 unfavorable

$12,000 favorable

$10,000 favorable

$12,000 unfavorable

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