A manufacturing company has a standard costing system based on standard direct labor-hours (DLHs) as the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below: Denominator level of activity 7,000 DLHs Overhead costs at the denominator activity level: Variable overhead cost $ 38,500 Fixed overhead cost $ 77,000 The following data pertain to operations for the most recent period: Actual hours 7,200 DLHs Standard hours allowed for the actual

Multiple Choice

$550 F

$3,740 U

$990 F

$3,500 F