Question
actory Overhead Cost Variances The following data relate to factory overhead cost for the production of 5,000 computers: Actual: Variable factory overhead $97,000 Fixed factory
actory Overhead Cost Variances
The following data relate to factory overhead cost for the production of 5,000 computers:
Actual: | Variable factory overhead | $97,000 |
Fixed factory overhead | 32,000 | |
Standard: | 5,000 hrs. at $24 | 120,000 |
If productive capacity of 100% was 8,000 hours and the total factory overhead cost budgeted at the level of 5,000 standard hours was $132,000, determine the variable factory overhead Controllable Variance, fixed factory overhead volume variance, and total factory overhead cost variance. The fixed factory overhead rate was $4 per hour. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
Variance | Amount | Favorable/Unfavorable |
Controllable variance | $ | |
Volume variance | $ | |
Total factory overhead cost variance | $ |
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