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Fahmy's Corporation manufactured 25,000 grooming kits for horses during March. The fixed-overhead cost allocation rate is $20.00 per machine-hour. The following fixed overhead data pertain
Fahmy's Corporation manufactured 25,000 grooming kits for horses during March. The fixed-overhead cost allocation rate is $20.00 per machine-hour. The following fixed overhead data pertain to March:
Actual | Static Budget | |
Production | 25,000 units | 24,000 units |
Machine-hours | 7,100 hours | 6,900 hours |
Fixed overhead costs for March | $123,000 | $138,000 |
What is the fixed overhead rate variance?
Question 20Select one:
a.
$5,000 favourable
b.
$5,164 unfavourable
c.
$1,000 unfavourable
d.
$2,000 favourable
e.
$983 unfavourable
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