Question: culates its predetermined rates using practical volume, which is 325,000 units. Tthe standard cost system allows 3 direct labor hours per unit produced. hours. The
culates its predetermined rates using practical volume, which is 325,000 units. Tthe standard cost system allows 3 direct labor hours per unit produced. hours. The total budgeted overhead is $4,260,000, of which $994,000 is fixed overhead. The actual results for the year are as follows: Units produced: Direct labor: Variable overhead: Fixed overhead: 318,000 965,000 hours@ $12.00/hour $3,302,000 $998,000 Calculate the variable overhead efficiency variance. a. $36,850 U Ob-$36,850 F Oc. $4,000 U Od. $80,000 U Oe. None of these choices are correct
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