Luke, Inc., has a standard variable overhead rate of $5 per machine hour, with each completed...

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Luke, Inc., has a standard variable overhead rate of $5 per machine hour, with each completed unit expected to take three machine hours to produce. A review of the company's accounting records found the following: Actual production: 19,500 units Variable-overhead efficiency variance: $9,000U Variable-overhead spending variance: $21,000F What was Luke's actual variable overhead during the period? Luke, Inc., has a standard variable overhead rate of $5 per machine hour, with each completed unit expected to take three machine hours to produce. A review of the company's accounting records found the following: Actual production: 19,500 units Variable-overhead efficiency variance: $9,000U Variable-overhead spending variance: $21,000F What was Luke's actual variable overhead during the period?

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Standard variable overhead rate is 5 per machine hour Each unit takes 3 machine hours to produce Act... View the full answer