Boxer Manufacturing produces luxury dog houses. Each dog house requires 3.5 hours of machine time for its

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Question:

Boxer Manufacturing produces luxury dog houses. Each dog house requires 3.5 hours of

machine time for its elaborate trim and finishing. For the current year, Boxer calculated

its predetermined fixed manufacturing overhead (MOH) rate to be $25 per machine hour.

The company budgets its fixed MOH to be $200,000 per month. Last month, Boxer produced 2,000 dog houses and incurred $198,400 (actual) of fixed MOH.

Requirements:

1. Calculate the fixed overhead budget variance.

2. Calculate the fixed overhead volume variance.

Posted Date: Nov 23, 2021 08:50 PM

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Boxer Manufacturing produces luxury dog houses. Each dog house requires 3.5 hours of machine time for its

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