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Machine maintenance is a variable cost of your business. You have standards of 5 minutes of machine time per unit produced and $20 of maintenance
Machine maintenance is a variable cost of your business. You have standards of 5 minutes of machine time per unit produced and $20 of maintenance cost per hour of machine usage. Your actual amounts are 2812 hours of machine time and $56162 in maintenance cost. You produce 32412 units whereas your budget had an anticipated volume of 20,000. Provide the maintenance efficiency variance (absolute value).
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