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Gerhan Company's Aexitte budget for the units manufactured in May shows $15,640 of total factory overhead which is at 70% capacity However company applied overhead
Gerhan Company's Aexitte budget for the units manufactured in May shows $15,640 of total factory overhead which is at 70% capacity However company applied overhead to production at the rate of $3 00 per direct labor hour based on a budgeted operating level of 6.120 direct labor hours (90% of capacity). The firm spent 5,000 direct labor hours and incurred $16,500 total factory overhead during May. including $6,800 for fixed factory overhead What is the variable factory overhead spending variance for May if the firm uses four-variance analysis of overhead variances? $180 unfvorable $300favorable $380unfavorable $480unfavorable %1160 unfavorable
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