Question: Just need to know if I got the right answer 1. Doogan Corporation makes a product with the following standard costs: Standard Quantity or Hours
Just need to know if I got the right answer
1.
Doogan Corporation makes a product with the following standard costs:
| Standard Quantity or Hours | Standard Price or Rate | |||
|---|---|---|---|---|
| Direct materials | 9.2 | grams | $ 3.80 | per gram |
| Direct labor | 0.3 | hours | $ 38.00 | per hour |
| Variable overhead | 0.3 | hours | $ 8.80 | per hour |
The company produced 7,000 units in January using 41,110 grams of direct material and 2,560 direct labor-hours. During the month, the company purchased 46,200 grams of the direct material at $3.50 per gram. The actual direct labor rate was $37.30 per hour and the actual variable overhead rate was $8.60 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.
The variable overhead rate variance for January is:
A.$420U
B $512U
C.$420F
D. $512F
I got $512F
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