The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of actual production are as follows Standard Costs Fixed overhead (based on 10,000 hours) 3 hours $.80 per hour Variable overhead 3 hours@ $2.00 per hour Total variable cost, $18,000 Total fixed cost, $8,000 13. The amount ofthe factory overhead volume variance is: a. $2,000 favorable b. $2,500 unfavorable c. $2,000 unfavorable The standard factory overhead rate is $10 per direct labor hour ($8 for variable factory overhead and $2 for fixed factory overhead cost of factory overhead for the production of 5,000 units during May were as follows: , based on 100% capacity of 30,000 direct labor hours. The standard cost and the actual Standard: 25,000 hours at $10 $250,000 Variable factory overhead Fixed factory overhead $202,500 60,000 Actual: What is the amount of the factory overhead controllable variance? a. $2,500 favorable b. $10,000 unfavorable c. $10,000 favorable d. $2,500 unfavorable 14. The total manufacturing cost variance consists of a. 15. Direct materials price variance, direct labor cost variance, and fixed factory overhead volume variance b. Direct materials cost variance, direct labor cost variance, factory overhead cost variance Direct materials cost variance, direct labor cost variance, variable factory overhead c. controllable variance d. Direct materials cost variance, direct labor rate variance, and factory overhead cost variance Assume that Division J has achieved income from operations of $165,000 using $900,000 of invested assets. If management desires a minimum rate of return of 8%, the residual income is: a. $93,000 b. $72,000 c. $185,000 d. $13,200 16