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Shaw Incorporated began this period with a budget for 1,050 units of predicted production. The budgeted overhead at this predicted activity follows. At period-end, total
Shaw Incorporated began this period with a budget for 1,050 units of predicted production. The budgeted overhead at this predicted activity follows. At period-end, total actual overhead was $97,500, and actual units produced were 950. The company applies overhead with a standard of 3 DLH per unit and a standard overhead rate of $30 per DLH. Variable overhead Fixed overhead Total overhead $ 52,500 42,500 $ 95,000 a. Compute controllable variance. b. Compute volume variance. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Compute volume variance. (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance.) Volume Variance Budgeted (flexible) overhead at units produced Standard overhead applied Volume variance 94,500 85,500 Unfavorable < Required A Required B >
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