The standard costs and actual costs for factory overhead for the manufacture of 3,000 units of actual production are as follows: Standard Costs Fixed overhead (based on 10,000 hours) 3 hours per unit @ $0.73 per hour Variable overhead 3 hours per unit @ $2.05 per hour Actual Costs     Total variable cost, $17,800       Total fixed cost, $7,900   The amount of the total factory overhead cost variance is a.$80 unfavorable b.$-650 unfavorable c.$80 favorable d.$810 favorable

Question

The standard costs and actual costs for factory overhead for the manufacture of 3,000 units of actual production are as follows:

Standard Costs
Fixed overhead (based on 10,000 hours) 3 hours per unit @ $0.73 per hour
Variable overhead 3 hours per unit @ $2.05 per hour

Actual Costs
    Total variable cost, $17,800  
    Total fixed cost, $7,900  

The amount of the total factory overhead cost variance is

a.$80 unfavorable
b.$-650 unfavorable
c.$80 favorable
d.$810 favorable

The standard costs and actual costs for direct materials for the manufacture of 1,910 actual units of product are

Standard Costs
Direct materials 1,910 kilograms @$8.60

Actual Costs
Direct materials 2,000 kilograms @ $8.30

The amount of the direct materials quantity variance is

a.$619 favorable
b.$774 favorable
c.$774 unfavorable
d.$619 unfavorable

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Variance Analysis

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