The following data relate to factory overhead cost for the production of 6,000 computers: Actual: Variable factory overhead $234,300 Fixed factory overhead 67,500 Standard: 6,000 hrs. at $47 282,000 If productive capacity of 100% was 10,000 hours and the total factory overhead cost budgeted at the level of 6,000 standard hours was $309,000, determine the variable factory overhead controllable variance, fixed factory overhead volume variance, and total factory overhead cost variance. The fixed factory overhead rate was $6.75 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 Variable factory overhead controllable variance 7,200 x Favorable v Fixed factory overhead volume variance -27,000 x Unfavorable v Total factory overhead cost variance -19,800 X Unfavorable v
The following data relate to factory overhead cost for the production of 6,000 computers: Actual: Variable factory overhead $234,300 Fixed factory overhead 67,500 Standard: 6,000 hrs. at $47 282,000 If productive capacity of 100% was 10,000 hours and the total factory overhead cost budgeted at the level of 6,000 standard hours was $309,000, determine the variable factory overhead controllable variance, fixed factory overhead volume variance, and total factory overhead cost variance. The fixed factory overhead rate was $6.75 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 Variable factory overhead controllable variance 7,200 x Favorable v Fixed factory overhead volume variance -27,000 x Unfavorable v Total factory overhead cost variance -19,800 X Unfavorable v
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter9: Evaluating Variances From Standard Costs
Section: Chapter Questions
Problem 15E: Factory overhead cost variances The following data relate to factory overhead cost for the...
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Determine controllable variance and volume variance.
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