Bright Pixel Co. applies overhead based on direct labor hours. Estimated overhead was $250,000 for 30,000 hours. Actual overhead was $245,600, actual labor hours were 28,500. What is the year-end overhead variance?

Bright Pixel Co. applies overhead based on direct labor hours. Estimated overhead was $250,000 for 30,000 hours. Actual overhead was $245,600, actual labor hours were 28,500. What is the year-end overhead variance?

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter10: Standard Costing And Variance Analysis

Section: Chapter Questions

Problem 58E: At the beginning of the year, Lopez Company had the following standard cost sheet for one of its...

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Question

General Accounting

Bright Pixel Co. applies overhead based on direct labor hours.
Estimated overhead was $250,000 for 30,000 hours. Actual
overhead was $245,600, actual labor hours were 28,500.
What is the year-end overhead variance?

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