Question
Autogas Corporation manufactures industrial-sized gas furnaces and uses budgeted machine hours to allocate variable manufacturing overhead. The following information relates to the company's manufacturing overhead
Autogas Corporation manufactures industrial-sized gas furnaces and uses budgeted machine hours to allocate variable manufacturing overhead. The following information relates to the company's manufacturing overhead data:
Budgeted output units 31,000 units
Budgeted machine-hours 16,585 hours
Budgeted variable manufacturing overhead costs for 16,585 hours $348,285
Actual output units produced 33,000 units
Actual machine-hours used 14,400 hours
Actual variable manufacturing overhead costs $384,000
_____ 09 What is the flexible-budget amount for variable manufacturing overhead?
A) $348,750
B) $370,755
C) $384,000
D) $360,727
_____ 10 What is the flexible-budget variance for variable manufacturing overhead?
A) $13,245 unfavorable
B) $35,715 unfavorable
C) $13,245 favorable
D) $35,715 favorable
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