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The following information relating to a company's overhead costs is available. Actual total variable overhead $73,000 Actual total fixed overhead $17,000 Budgeted variable overhead rate
The following information relating to a company's overhead costs is available.
Actual total variable overhead | $73,000 |
Actual total fixed overhead | $17,000 |
Budgeted variable overhead rate per machine hour | $2.50 |
Budgeted total fixed overhead | $15,000 |
Budgeted machine hours allowed for actual output | 30,000 |
Based on this information, the total variable overhead variance is:
$2,000 favorable.
$6,000 favorable.
$2,000 unfavorable.
$6,000 unfavorable.
$1,000 favorable.
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