Question: Refer to the data from Johnson Inc in Short Exercises

Refer to the data from Johnson, Inc. in Short Exercises S23- 6 and S23-7. The ­following information relates to the company’s overhead costs for the month:
Static budget variable overhead ....... $ 9,000
Static budget fixed overhead ......... $ 4,500
Static budget direct labor hours ........ 1,800 hours
Static budget number of glasses ......... 6,000 glasses
Johnson allocates manufacturing overhead to production based on standard ­direct labor hours. Last month, Johnson reported the following actual results: actual ­variable overhead, $ 10,200; actual fixed overhead, $ 2,830. Compute the standard variable overhead allocation rate and the standard fixed overhead allocation rate.

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