Question: Riverstone Corporation has a standard cost system in which it applies manufacturing overhead to products based on standard machine-hours (MHS). The company has provided the following data for the most recent month: Description Budgeted level of activity Amount 8,000 MHs Actual level of activity 8,500 MHs Standard variable manufacturing overhead rate $6.20 per MH Actual total variable manufacturing overhead $52,700 What was the variable overhead rate variance for the month?

Question: Riverstone Corporation has a standard cost system in which it applies manufacturing overhead to products based on standard machine-hours (MHS). The company has provided the following data for the most recent month: Description Budgeted level of activity Amount 8,000 MHs Actual level of activity 8,500 MHs Standard variable manufacturing overhead rate $6.20 per MH Actual total variable manufacturing overhead $52,700 What was the variable overhead rate variance for the month?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 11E: Ripley, Inc., costs products using a normal costing system. The following data are available for...

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