factory overhead cost
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
The following data relate to
| Line Item Description | Amount |
|---|---|
| Actual: Variable factory overhead | $67,900 |
| Fixed factory overhead | 21,000 |
| Standard: 4,000 hrs. at $21.00 | 84,000 |
If productive capacity of 100% was 6,000 hours and the total factory overhead cost budgeted at the level of 4,000 standard hours was $91,000, determine the variable factory overhead Controllable Variance, fixed factory overhead volume variance, and total factory overhead cost variance. The fixed factory overhead rate was $3.50 per hour. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Variance | Amount | Favorable/Unfavorable |
|---|---|---|
| Controllable variance | $fill in the blank 1 |
|
| Volume variance | $fill in the blank 3 |
|
| Total factory overhead cost variance | $fill in the blank 5 |
|
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