Factory Overhead Cost Variance Report Tannin Products Inc. prepared the following factory overhead cost budget for the Trim Department for July of the current year, during which it expected to use 18,000 hours for production: Variable overhead costs: $55,800 13,500 27,000 Indirect factory labor Power and light Indirect materials Total variable overhead cost $ 96,300 Fixed overhead costs $76,490 20,130 37,580 Supervisory salaries Depreciation of plant and equipment Insurance and property taxes 134,200 Total fixed overhead cost $230,500 Total factory overhead cost Tannin has available 22,000 hours of monthly productive capacity in the Trim Department under normal business conditions. During July, the Trim Department actually used 17,000 hours for production. The actual fixed costs were as budgeted. The actual variable overhead for July was as follows: Actual variable factory overhead costs: Indirect factory labor Power and light Indirect materials $51,380 12,520 26,800 Previous Next Construct a factory overhead cost variance report for the Trim Department for July. Enter all amounts as positive numbers. If an amount box does not require an entry, leave it blank. Round your interim computations to the nearest cent, if required. Tannin Products Inc. Factory Overhead Cost Variance Report-Trim Department For the Month Ended July 31 Productive capacity for the month 22,000 hrs. Actual productive capacity used for the month 17,000 hrs. Variable factory overhead costs Indirect factory labor Power and light Indirect materials Total variable factory overhead cost Fixed factory overhead costs Budget (at actual production) Actua Favorable Variances Unfavorable Variances Supervisory salaries Depreciation of plant and equipment Insurance and property taxes Total fixed factory overhead cost Total factory overhead cost Total controllable variances Pre Previous Next Total factory overhead cost Total controllable variances Idle hours at the standard rate for fixed factory overhead PreviousNext