Tera SARL uses a standard costing system in which completed units is the measure of activity. Data from the company's flexible budget for manufacturing overhead and operations for the most recent period are given below:

• Flexible Budget:
• Budgeted Level of Activity: 6,400 completed units
• Overhead costs at the Budgeted activity level:
• Variable Overhead Cost: $14,720
• Fixed Overhead Cost: $31,552
• Most Recent period's operations:
• Actual level of activity: 6,200 completed units
• Standard level of activity for output: 6,420 completed units
• Actual total variable overhead cost: $14,012
• Actual total fixed overhead cost: $33,604

PART AWhat is the variable overhead rate variance?Answer

$248 Favorable

$708 Favorable

$249 Unfavorable

$204 Unfavorable

$754 Favorable

PART B

What is the variable overhead efficiency variance?Answer

$506 Favorable

$497 Favorable

$754 Favorable

$45 Unfavorable

$460 Favorable

PART C

What is the fixed overhead budget variance?Answer

$2,052 Unfavorable

$1,953 Unfavorable

$3,038 Unfavorable

$99 Unfavorable

$986 Favorable

PART D

What is the fixed overhead volume variance?Answer

$99 Favorable

$2,052 Unfavorable

$2,052 Favorable

$3,244 Favorable

$3,038 Unfavorable