25. TYD, Inc. reported the following data for 1996: Actual hours 120.000 Denominator hours 150.000 Standard hours allowed for output 140,000 Fixed predetermined overhead rate P6 per hour Variable predetermined overhead rate P4 per hour TYD's 1996 volume variance was a. P60,000 which is neither favorable nor under-applied. b. P60,000 favorable. c. No volume variance. d. P60,000 under-applied. 26. Patridge Company uses a standard cost system in which it applies manufacturing overhead to units of product on the basis of direct labor hours. The information below is taken from the company's flexible budget for manufacturing overhead: Percent of capacity 70% 80% 90% Direct labor hours 21,000 24,000 27,000 Variable overhead $ 42,000 $ 48,000 S 54.000 Fixed overhead 108,000 108,000 108,000 Total overhead S150,000 $156,000 $162,000 During the year, the company operated at exactly 80% of capacity, but applied manufacturing overhead to products based on the 90% level. The company's fixed overhead volume variance for the year was: A. $6,000 U. B. $6,000 F. C. $12,000 U D. $12.000 F. 27. Margolos, Inc. ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed factory O/H was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable factory O/H was $170,000, what were the actual machine hours (AH) for the month? A. 32.424 B. 32,000 C. 31.687 31,576 28. Web Company uses a standard cost system in which manufacturing overhead is applied to units of product on the basis of machine hours. During February, the company used a denominator activity of 80,000 machine hours in computing its predetermined overhead rate. However, only 75,000 standard machine hours were allowed for the month's actual production. If the fixed overhead volume variance for February was $6,400 unfavorable, then the total budgeted fixed overhead cost for the month was: A. $96,000. B. $102,400. C. $100,000 D. $98,600. D