Refer to the data in Exercise 11€“25 for Starlight Glassware Company. Draw graphs similar to those in Exhibit 11€“7 (variable overhead) and Exhibit 11€“9 (fixed overhead) to depict the overhead variances.
In Exhibit 11-7

In Exhibit 11-9

In Exercise 11€“25, Starlight Glassware Company has the following standards and flexible-budget data.
Standard variable-overhead rate........................$18.00 per direct-labor hour
Standard quantity of direct labor.......................2 hours per unit of output
Budgeted fixed overhead..................................$300,000
Budgeted output................................................25,000 units
Actual results for February are as follows:
Actual output.......................................... 20,000 units
Actual variable overhead.......................................... $960,000
Actual fixed overhead.............................................. $291,000
Actual direct labor.................................................... 50,000hours

Transcribed Image Text:

Rate (Actual) $5.50 (Standard) $5.00 Activity level 0 6,000 6,300 (process hours) (Standard) (Actual) Key: Total variable-overhead variance: blue areas Variable-overhead spending variance: dark blue area Variable-overhead efficiency variance: light blue area Applied fixed overhead ($2.00 per standard allowed process hour) Fixed overhead Budgeted fixed Budgeted fixed overhead $15,000 Volume variance 3,000 $12,000 Applied fixed overhead in Activity level (process hours) 6,000 7,500 Standard Planned allowed monthly hours, activity given actual n hours output expressec