FINANCIAL AND MANAGERIAL ACCOUNTING
9th Edition
ISBN: 9781264899180
Author: Wild
Publisher: MCG
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The standard cost of Product ZX includes 5 hours of direct labor at $16 per hour. The predetermined overhead rate is $28 per direct labor hour. During August, the company incurred 5,300 hours of direct labor at an average rate of $15.75 per hour and $139,400 of manufacturing overhead costs. It produced 1,100 units. Compute the total overhead variance.
Calculate the labor variance
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