XYZ Company, which applies overhead on the basis of direct labor hours. Two direct labor hours are required for each product unit. Planned production for the period was set at 9,000 units. Manufacturing overhead is budgeted at P135,000 for the period, of which 20% of this cost is fixed. The 17,200 hours worked during the period resulted in production of 8,500 units. Variable manufacturing overhead cost incurred was P108,500 and fixed manufacturing overhead cost was P28,000. DEF Company uses a four variance method for analyzing manufacturing overhead. 10. The fixed overhead volume (denominator) variance for the period is C. P2,500 unfavorable A. P 750 unfavorable B. P1,500 unfavorable D. P1,000 unfavorable

XYZ Company, which applies overhead on the basis of direct labor hours. Two direct labor hours are required for each product unit. Planned production for the period was set at 9,000 units. Manufacturing overhead is budgeted at P135,000 for the period, of which 20% of this cost is fixed. The 17,200 hours worked during the period resulted in production of 8,500 units. Variable manufacturing overhead cost incurred was P108,500 and fixed manufacturing overhead cost was P28,000. DEF Company uses a four variance method for analyzing manufacturing overhead. 10. The fixed overhead volume (denominator) variance for the period is C. P2,500 unfavorable A. P 750 unfavorable B. P1,500 unfavorable D. P1,000 unfavorable

Name: XYZ Company, which applies overhead on the basis of direct labor hour
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Description: XYZ Company, which applies overhead on the basis of direct labor hours. Two direct labor hours arerequired for each product unit. Planned production for the period was set at 9,000 units. Manufacturingoverhead is budgeted at P135,000 for the period,

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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