Question
The following standards for variable overhead have been established for a company that makes only one product: Standard hours per unit of output4.4hoursStandard variable overhead
The following standards for variable overhead have been established for a company that makes only one product:
Standard hours per unit of output4.4hoursStandard variable overhead rate$16.00per hour
The following data pertain to operations for the last month:
Actual hours8,100hoursActual total variable overhead cost$124,990Actual output1,820units
Required:a.What is the variable overhead rate variance for the month?
b.What is the variable overhead efficiency variance for the month?
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Accounting Information Systems Controls And Processes
Authors: Leslie Turner, Andrea B Weickgenannt, Mary Kay Copeland
4th Edition
1119577810, 9781119577812
