#19

Question 19 Use the following information for Questions 14 through 19; The Andy Bernard Company produces drywall that can withstand a punich being punched into it and has developed the folloping standard- Direct materials: 2.5 ounces at $20 per ounce Direct labor: 14 hours at $12.50 per hour Variable manufacturing overhead: 1.4 hours at $3,50 per hour Variable manufacturing overhead is applied on the basis of standard direct labor hours. The following data are available for October 3,750 units of drywall were produced during the month. There was no beginning direct materials inventory Direct materials purchased: 12,000 ounces for $225,000 The ending direct materials inventory was 2,000 ounces. Direct labor hours worked: 5,600 hours at a cost of $67,200. Variable manufacturing overhead costs incurred amounted to $18,200. Variable manufacturing overhead applied to products: $18,375. . The variable overhead efficiency variance for October is: $1,050 Unfavorable $1,225 Unfavorable $1,225 Favorable $1,050 Favorable