Bag | A0ACI ?.ERetailng and Consumer co Secure https:/ cation.com/flow/connect.h

Question

Bag | A0ACI ?.ERetailng and Consumer co Secure https:/ cation.com/flow/connect.html Apps For quick access, place your bookmarks here on the bookmarks bar. Import bookmarks now.. Chapter 10 Quiz Saved Help Save & Exl A manufacturing company that has only one product has established the following standards for its variable manufacturing overhead. The company bases its variable manufacturing overhead standards on direct labor-hours. Standard hours per unit of output standard variable overhead rate .00 DLHs s11.63 per DLR points 00:3749 The following data pertain to operations for the last month Actual direct labor-hours Actual total variable manufacturing overhead cost Actual output 8,500 DLHS $95,970 1,600 units What is the variable overhead rate variance for the month? Multiple Choice Prey 1 of 5 Next >

Explanation / Answer

Answer:

Variable Overhead Rate Variance = AH * (AR – SR)
Actual Hours = 8,500 DLHs
Actual Rate = 95,970 / 8,500
Actual Rate = $11.2906

Standard rate = $11.63

Variable Overhead Rate Variance = 8,500 * (11.2906 – 11.63)
Variable Overhead Rate Variance = 8,500 * -0.3394
Variable Overhead Rate Variance = $2,884.90
or Variable Overhead Rate Variance = $2,885 (Favourable)

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.