Exercise 11-11

Manufacturing overhead data for the production of Product H by Shakira Company are as follows.

Overhead incurred for45,600actual direct labor hours worked $368,300 Overhead rate (variable $7; fixed $1) at normal capacity of43,900direct labor hours $8 Standard hours allowed for work done 45,838

Compute the total overhead variance.

Total overhead variance$

Neither favorable nor unfavorableFavorableUnfavorable