R&N Manufacturing produces music boxes. The fixed overhead rate is $5.10 per direct labor hour, and the
Fantastic news! We've Found the answer you've been seeking!
Question:
R&N Manufacturing produces music boxes. The fixed overhead rate is $5.10 per direct labor hour, and the company budgeted for 4,600 direct labor hours for the year. During the year, R&N produced 2,500 music boxes using 4,800 direct labor hours. Actual fixed overhead for the year was $23,000. What is the company’s fixed overhead spending variance?
a. $460 favorable
b. $460 unfavorable
c. $1,480 favorable
d. $1,480 unfavorable
Related Book For
Managerial Accounting
ISBN: 978-0078025518
2nd edition
Authors: Stacey Whitecotton, Robert Libby, Fred Phillips
Posted Date: