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A manufacturer of playground equipment has a standard costing system based on machine hours (MHs) as the measure of activity. Data from the company's flexible
A manufacturer of playground equipment has a standard costing system based on machine hours (MHs) as the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below:
Denominator Level of Activity | 3,100 MHs |
Fixed Overhead Cost | $42,200 |
The following data pertain to operations for the most recent period:
Actual Hours | 3,600 MHs |
Standard Hours Allowed for the Actual Output | 3,700 MHs |
Actual Total Fixed Overhead Cost | $41,000 |
What was the fixed overhead budget variance for the period, rounded to the nearest dollar?
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