Fuller Company allocates manufacturing overhead based on machine hours. Each bike produced should require 4 machine hours. According to the static budget, the following is expected to incur: 2,200 machine hours per month (550 bikes x 4 hours per bike) $11,440 in variable manufacturing overhead costs $9,400 in fixed manufacturing overhead costs During January, Fuller Company actually used 2,100 machine hours to make 510 bikes. The company spent $6,800 in variable manufacturing overhead costs and $9,100 in fixed manufacturing overhead costs.

What is the fixed overhead cost variance? What is the fixed manufacturing overhead allocation rate? Fuller Company total flexible budget cost for 510 bikes per month is?

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Budgeted fixed overheads 9400 Actual fixed overheads 9100 Fixed overheads var... View the full answer