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JordanCompany has the following information available for variable overhead costs. Direct labor hours are the cost driver for variable overhead costs. Actual variable overhead costs$4,750
JordanCompany has the following information available for variable overhead costs. Direct labor hours are the cost driver for variable overhead costs.
Actual variable overhead costs$4,750
Standard variable overhead costs$1.25per hour
Actual direct labor hours3,600 hours
Standard direct labor hours per unit5 hours
Units produced700
What is the variable overhead spending variance?
A) $250 Unfavorable
B) $250 Favorable
C) $450Unfavorable
D) $450Favorable
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