The following information is available from the Arugula Company: Actual factory overhead $16,800 Actual fixed overhead expenses
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Question:
The following information is available from the Arugula Company:
Actual factory overhead | $16,800 |
Actual fixed overhead expenses | $ 9,200 |
Budgeted fixed overhead expenses | $ 9,500 |
Actual hours | 3,600 |
Budgeted hours | 3,800 |
Standard hours allowed | 3,500 |
Standard variable overhead rate per direct labor hour | $ 2.25 |
Assuming that Arugula uses a three-variance analysis of overhead variances, what is the production-volume variance?
Select one:
a. $800 favorable
b. $800 unfavorable
c. $500 favorable
d. $500 unfavorable
Related Book For
Cost management a strategic approach
ISBN: 978-0073526942
5th edition
Authors: Edward J. Blocher, David E. Stout, Gary Cokins
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