REVIEW VIEW HLE HOME INSERT PAGE LAYOUT FORMULAS DATA 4 of cut Calibri 11 AA === th Copy . Paste . Format Painter inter BIU.B.S.A.EE s Clipboard Font 5. > E Wrap Tet Merge & Center . $ % *8.99 Conditional Format as Cell Formatting Table Styles Styles Alignment Number 132 X fr Favorable A B C D 1 Labor Variances. Variable Overhead Variances. 2 Tech Company produces computer servers. 3 The company's standards show each server will require 10 hours of direct labor at $20 per hour. Tech's direct labor workforce worked 3.200 hours to produce 300 units during the month of August and was paid $22 per direct labor hour. 5 Variable overhead is allocated to each server based on a standard of $100 per machine hour and 3 machine hours per server. 6 A total of 850 machine hours were used during the month of August and variable overhead costs totaled $96,000. 7 Required: B Calculate the labor rate variance for the month of August. 9 Calculate the labor efficiency variance for the month of August. 10 Calculate the variable overhead spending variance for the month of August. 11 Calculate the variable overhead efficiency variance for the month of August.. = Actual Hours Used X (Actual Rate Standard Rate) 18 VOH 3,200.00 Hr per unit Labor Rate Variance 20.00 22.00 Sper Hr 3.200 Hr worked Sper Unit MH per unit 100.00 Sper MH Labor Hours Variance 350 MHS 96.000 Cost OH S per Unit 10-21 22 23 24 10-27 10-29 30 31 32 33 10:36 Quiz Type Unfavorable = Standard Rate X l Actual Hours Standard Hours) REACH Quiz Type 2 Quiz Type 3 139 X fx 20 50 MHS 96,000 Cost OH Sper Unit Units Prod Variable Overhead Spending Variance - Actual OH (AHARI (Actual Hours x Standard Rate) Unfavorable Variable Overhead Efficiency Variance Standard Rate x (Actual Hours - Standard Hours) Favorable