Dirickson Incorporated has provided the following data concerning one of the products in its standard cost system. Variable manufacturing overhead is applied to products on the basis of direct labor-hours. Standard Quantity or Hours per Unit of Output Inputs Standard Price or Rate $ 9.40 per ounce $ 18.00 per hour $ 5.30 per hour Direct materials 7.6 ounces Direct labor 0.10 hours Variable manufacturing overhead 0.10 hours The company has reported the following actual results for the product for July: Actual output 7,600 units 63,000 ounces Raw materials purchased Actual cost of raw materials purchased Raw materials used in production $ 541,800 57,750 ounces 820 hours Actual direct labor-hours Actual direct labor cost $ 16,072 2$ $ 4,592 Actual variable overhead cost The variable overhead efficiency variance for the month is closest to:

Dirickson Incorporated has provided the following data concerning one of the products in its standard cost system. Variable manufacturing overhead is applied to products on the basis of direct labor-hours. Standard Quantity or Hours per Unit of Output Inputs Standard Price or Rate $ 9.40 per ounce $ 18.00 per hour $ 5.30 per hour Direct materials 7.6 ounces Direct labor 0.10 hours Variable manufacturing overhead 0.10 hours The company has reported the following actual results for the product for July: Actual output 7,600 units 63,000 ounces Raw materials purchased Actual cost of raw materials purchased Raw materials used in production $ 541,800 57,750 ounces 820 hours Actual direct labor-hours Actual direct labor cost $ 16,072 2$ $ 4,592 Actual variable overhead cost The variable overhead efficiency variance for the month is closest to:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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