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The following information is available for Baxter Manufacturing for April: Actual machine hours 1,000 Standard machine hours allowed 1,060 Denominator activity (machine hours) 1,110 Actual
The following information is available for Baxter Manufacturing for April:
| Actual machine hours | 1,000 | ||
| Standard machine hours allowed | 1,060 | ||
| Denominator activity (machine hours) | 1,110 | ||
| Actual fixed overhead costs | $ | 7,000 | |
| Budgeted fixed overhead costs | $ | 4,440 | |
| Predetermined overhead rate ($1 variable + $4 fixed) | $ | 5 | |
Is the production volume variance for April favorable or unfavorable?
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Collaborative Auditing
Authors: James Pelletier, Yuki Matsuura
2nd Edition
0894139606, 9780894139604
