The factory overhead for the Bruce Company is estimated as follows: Fixed overhead = $15,000 Variable overhead = $45,000 Estimated direct labor hours = 20,000 Production for the month reached 75% of the budget. In addition, actual factory overhead totaled $43,000

Required: Calculate the following Applied factory overhead (i.e., overapplied or underapplied) Spending Variance Capacity Variande.

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To calculate the applied factory overhead spending variance and capacity variance well need to follow these steps 1 Calculate the predetermined overhe... View the full answer