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Need help with the wrong answers, thanks Overhead is applied using direct labor hours. The standard overhead rate is based on a predicted activity level
Need help with the wrong answers, thanks
Overhead is applied using direct labor hours. The standard overhead rate is based on a predicted activity level of 80% of the company's capacity of 60,000 units per quarter. The following additional information is available. During the current quarter, the company operated at 90% of capacity and produced 54,000 units; actual direct labor totaled 265,000 hours. Units produced were assigned the following standard costs. Actual costs incurred during the current quarter follow. equired: a) Compute the variable overhead spending and efficiency variances. b) Compute the fixed overhead spending and volume variances. c) Compute the overhead controllable variance. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the fixed overhead spending and volume variances. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "cost per unit" answers to 2 decimal places.) Compute the total controllable variance. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.)Step by Step Solution
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