In October, Roby Company reports 21,370 actual direct labor hours, and it incurs $148,480 of manufacturing overhead costs. Standard hours allowed for the work done is 23,200 hours. The predetermined overhead rate is $6.64 per direct labor hour. In addition, the flexible manufacturing overhead budget shows that budgeted costs are $6 variable per direct labor hour and $51,000 fixed. Compute the overhead volume variance. Normal capacity was 25,000 direct labor hours.

Brief Exercise 25-11 In October, Roby Company reports 21,370 actual direct labor hours, and it incurs $148,480 of manufacturing overhead costs. Standard hours allowed for the work done is 23,200 hours. The predetermined overhead rate is $6.64 per direct labor hour. In addition, the flexible manufacturing overhead budget shows that budgeted costs are $6 variable per direct labor hour and $51,000 fixed Compute the overhead volume variance. Normal capacity was 25,000 direct labor hours. Overhead Volume Variance Click if you would like to Show Work for this question: Open Show Work