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Factory Overhead cost variance report please help. Tiger Equipment Inc., a manufacturer of construction equipment, prepared the following factory overhead cost budget for the Welding

Factory Overhead cost variance report please help.

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Tiger Equipment Inc., a manufacturer of construction equipment, prepared the following factory overhead cost budget for the Welding Department for May of the current year. The company expected to operate the department at 100% of normal capacity of 6,500 hours. Variable costs: ' Indirect factory wages $18,850 Power and light 13,390 Indirect materials 11,440 Total variable cost $43,680 Fixed costs: Supervisory salaries $11,060 Depreciation of plant and equipment 28,380 , E Insurance and property taxes 8,660 Total xed cost 48,100 Total factory overhead cost $91,780 During May, the department operated at 6,900 standard hours. The factory overhead costs incurred were indirect factory wages, $20,210; power and light, $13,960; indirect materials, $12,400; supervisory salaries, $11,060; depreciation of plant and equipment, $28,380; and insurance and property taxes, $8,660. Required: Prepare a factory overhead cost variance report for May. To be useful for cost control, the budgeted amounts should be based on 6,900 hours. Enter a favorable variance as a negative number using a minus Sign and an unfavorable variance as a positive number. Round your per unit computations to the nearest cent, if required. If an amount box does not require an entry, leave it blank. ,Tie-tfcrl-Tmcm'.' I!" _.... WWW

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