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The following information relating to a company's overhead costs is available. 33 Actual total variable overhead Actual total fixed overhead Budgeted variable overhead rate per
The following information relating to a company's overhead costs is available. 33 Actual total variable overhead Actual total fixed overhead Budgeted variable overhead rate per machine hour Budgeted total fixed overhead Budgeted machine hours allowed for actual output $ 93,000 $14,000 $ 3.00 $12,000 37,000 01:20:53 Based on this information, the total variable overhead variance is: Multiple Choice $18,000 favorable. $4.000 favorable $18,000 unfavorable $4,000 unfavorable. $5,838 favorable. Lattimer Company had the following results of operations for the past year: 36 $ 186,000 ot:24:52 Sales (15,000 units at $12.40) Variable manufacturing costs Fixed manufacturing costs Selling and administrative expenses (all fixed) Operating income $103,500 27,000 42,000 (172,500) 13,500 $ A foreign company offers to buy 5,800 units at $8.30 per unit. In addition to existing costs, selling these units would add a $0.33 selling cost for export fees. Lattimer's annual production capacity is 25,000 units. If Lattimer accepts this additional business, the special order will yield a: Multiple Choice $8,120 profit. $6,206 profit. O $10,034 loss. $4,234 loss. $2.320 loss
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