The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of actual production are as follows: Standard Costs 3 hours per unit at $0.76 per hour 3 hours per unit at $1.97 per hour Fixed overhead (based on 10,000 hours) Variable overhead Actual Costs Total variable cost, $18,000 Total fixed cost, $7,900 The variable factory overhead controllable variance is Oa. $2,634 unfavorable Ob. $2,634 favorable Oc. $0. Od. $2,107 favorable

The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of actual production are as follows: Standard Costs 3 hours per unit at $0.76 per hour 3 hours per unit at $1.97 per hour Fixed overhead (based on 10,000 hours) Variable overhead Actual Costs Total variable cost, $18,000 Total fixed cost, $7,900 The variable factory overhead controllable variance is Oa. $2,634 unfavorable Ob. $2,634 favorable Oc. $0. Od. $2,107 favorable

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Description: The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of actual production are as follows:Standard Costs3 hours per unit at $0.76 per hour3 hours per unit at $1.97 per hourFixed overhead (based on 10,000 hours)V

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead

Section: Chapter Questions

Problem 20E: Calculating amount of factory overhead applied to work in process The overhead application rate for...

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