Question
The following information is available rearding the companys overhead. The company uses standard costing to account for both variable and fxed overhead in its operations,
The following information is available rearding the companys overhead. The company uses standard costing to account for both variable and fxed overhead in its operations, both of which are applied on the basis of Machine hours.
Fixed manufacturing overhead incurred 23,180
Denominater machine hours per master budget 1,000 hours
Variable overhead rate (per machine hour) 42 per machine hour
Budgeted fixed overhead per master budget 20,000
Fixed overhead volume variance 4000 F
Variable overhead spending Variance 2,282 F
Variable overhead efficiency variance 2,478 F
Required :
Determine the Following :
1. Variable manufacturing overhead incurred
2. Standard machine hours allowed for actual output
3. Fixed overhead rate (per machine hour)
4. Budgeted variable overhead (per master budget)
5. Total budgeted over head (per master budget)
6. Applied variable overhead
7. Applied fixed overhead
8. Fixed overhead spending variance
9. Actual machine hours used
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