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CWB Inc.'s standard cost card for direct labor and variable manufacturing overhead are as follows: Direct Costs Standard Quantity (unit: hours) Standard Price (unit:$ per
CWB Inc.'s standard cost card for direct labor and variable manufacturing overhead are as follows: | ||||||
Direct Costs | Standard Quantity (unit: hours) | Standard Price (unit:$ per hour) | ||||
Direct Labor | 0.1 | 10 | ||||
Manufacturing Overhead | 0.1 | 6 | ||||
Actual results were as follows: | ||||||
The number of units sold and produced was 12000 units. | ||||||
The variable overhead cost was $5000 for 1000 hours. |
Calculate the following variances.
Use "U" to indicate "Unfavorable" and "F" to indicate "Favorable". For example, input "3000U" for $3,000 unfavorable variance and "3000F" for $3,000 favorable variance. Do not use a thousand separator "," and do not leave space between the number and the letter U/F in your answer.
1. Variable overhead rate variance.
2. Variable overhead efficiency variance.
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