Question: The data related to Shunda Enterprises Inc s factory overhead

The data related to Shunda Enterprises Inc.’ s factory overhead cost for the production of 100,000 units of product are as follows:

Productive capacity at 100% of normal was 130,000 hours, and the factory overhead cost budgeted at the level of 132,000 standard hours was $ 956,000. Based on these data, the chief cost accountant prepared the following variance analysis:

Identify the errors in the factory overhead cost varianceanalysis.
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  • CreatedJune 27, 2014
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