27.) The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of actual production are as follows:

	Standard Costs
Fixed overhead (based on 10,000 hours)	3 hours per unit at $0.78 per hour
Variable overhead	3 hours per unit at $2.00 per hour
Actual Costs
Total variable cost, $17,900
Total fixed cost, $8,200

The total factory overhead cost variance is

a.$2,900 unfavorable

b.$6,800 favorable

c.$4,850 unfavorable

d.$4,850 favorable

25)

ABC Corporation has three support departments with the following costs and cost drivers:

Support Department	Cost	Cost Driver
Graphics Production	$200,000	number of copies made
Accounting	500,000	number of invoices processed
Personnel	400,000	number of employees

ABC has three operating divisions, Micro, Macro, and Super. Their revenue, cost, and activity information are as follows:

	Micro	Macro	Super
Revenues	$700,000	$850,000	$650,000
Direct operating expenses	50,000	70,000	100,000
Number of copies made	20,000	30,000	50,000
Number of invoices processed	700	800	500
Number of employees	130	145	125

The support department allocation rate for the Accounting Department is

a.$0.004

b.$250

c.$714

d.$625