Question: Clover Corporation uses a standard costing system in which variable manufacturing overhead is assigned to production on the basis of the number of machine hours.
Clover Corporation uses a standard costing system in which variable manufacturing overhead is assigned to production on the basis of the number of machine hours. The following data pertain to one month's operations:

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3,550 MH 4,000 MH Standard machine hours allowed for actual production: Actual machine hours for the month: Actual variable manufacturing overhead costs incurred: S 80,000 S5,450 Unfavorable Variable overhead spending variance What is variable overhead rate variance? A. S 9,450.00 unfavorable B. S 9,450.00 favorable C. S 4,000.00 unfavorable D. S 4,000.00 favorable E. Not determinable 9
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