Brummer Corporation makes a product whose variable overhead standards are based on direct labor-hours. The quantity standard
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Question:
Brummer Corporation makes a product whose variable overhead standards are based on direct labor-hours. The quantity standard is 0.1 hours per unit. The variable overhead rate standard is $8.00 per hour. In January the company produced 8,700 units using 910 direct labor-hours. The actual variable overhead rate was $7.90 per hour.
The variable overhead efficiency variance for January is:
a. $320 F
b. $316 U
c. $320 U
d. $316 F
Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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