Question

Kagawa Manufacturing Company budgeted its 20X0 variable overhead at ¥13,800,000 and its fixed overhead at ¥24,192,000. Expected 20X0 volume was 5,600 units. Actual costs for production of 5,700 units during 20X0 were as follows:
Variable overhead . ¥14,400,000
Fixed overhead .... 27,250,000
Total overhead .. ¥41,650,000

Compute the production-volume variance. Be sure to label it favorable or unfavorable.



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  • CreatedNovember 19, 2014
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