Knowledge Check 01 Fiesta Inc calculates a fixed manufacturing overhead rate based on a budgeted fixed manufacturing overhead of $270,000 and 90,000 units During the month of September, the company actually produced 100,000 units and incurred actual fixed manufacturing overhead cost of $315,000 Calculate the fixed overhead spending variance $45,000 favorable $45,000 unfavorable $30,000 unfavorable $30,000 favorable Knowledge Check 02 Fiesta Inc calculates a fixed manufacturing overhead rate based on a budgeted fixed manufacturing overhead of $270,000 and 90,000 units During the month of September, the company actually produced 100,000 units and incurred actual fixed manufacturing overhead cost of $315,000 Calculate the fixed overhead volume variance $25,000 unfavorable $30,000 unfavorable $30,000 favorable $25,000 favorable Knowledge Check 03 Creek Co calculated its fixed overhead spending variance to be $30,000, unfavorable Its fixed overhead volume variance amounted to $27,000, favorable Calculate the amount of over or underapplied fixed manufacturing overhead $3,000 underapplied $3,000 overapplied $57,000 overapplied $57,000 underapplied Knowledge Check 04 TechnoText Inc bases its fixed overhead rate on its practical capacity of 120,000 units per year It budgeted to produce 100,000 units during Year 1 The budgeted fixed manufacturing overhead is $480,000 The company actually produced 110,000 units and incurred $535,000 in fixed manufacturing overhead costs Calculate the expected capacity variance $80,000 favorable $100,000 favorable $80,000 unfavorable $100,000 unfavorable

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Knowledge Check 01 Fiesta Inc. calculates a fixed manufacturing overhead rate based on a budgeted fixed manufacturing overhead of $270,000 and 90,000 units. During the

Knowledge Check 01

Fiesta Inc. calculates a fixed manufacturing overhead rate based on a budgeted fixed manufacturing overhead of $270,000 and 90,000 units. During the month of September, the company actually produced 100,000 units and incurred actual fixed manufacturing overhead cost of $315,000. Calculate the fixed overhead spending variance.

$45,000 favorable
$45,000 unfavorable
$30,000 unfavorable
$30,000 favorable

Knowledge Check 02

$25,000 unfavorable
$30,000 unfavorable
$30,000 favorable
$25,000 favorable

Knowledge Check 03

Creek Co. calculated its fixed overhead spending variance to be $30,000, unfavorable. Its fixed overhead volume variance amounted to $27,000, favorable. Calculate the amount of over- or underapplied fixed manufacturing overhead.

$3,000 underapplied
$3,000 overapplied
$57,000 overapplied
$57,000 underapplied

Knowledge Check 04

TechnoText Inc. bases its fixed overhead rate on its practical capacity of 120,000 units per year. It budgeted to produce 100,000 units during Year 1. The budgeted fixed manufacturing overhead is $480,000. The company actually produced 110,000 units and incurred $535,000 in fixed manufacturing overhead costs. Calculate the expected capacity variance.