Question Details

71. The variable overhead efficiency variance for the year is?

A. $28,000 U.

B. $28,000 F.

C. $100,000 F.

D. $100,000 U.

72. The fixed overhead budget variance for the year is?

A. $8,000 F.

B. $10,000 U.

C. $17,000 U.

D. $74,000 F.

73. The fixed overhead volume variance for the year is?

A. $7,000 U.

B. $18,000 F.

C. $25,000 U.

D. $41,667 U.

A manufacturing company that has only one product has established the following standards for its

variable manufacturing overhead. The company uses machine-hours as its measure of activity.

The following data pertain to operations for the last month:

74. What is the variable overhead spending variance for the month?

A. $595 U.

B. $595 F.

C. $1,739 U.

D. $1,739 F.

75. What is the variable overhead efficiency variance for the month?

A. $567 F.

B. $1,144 U.

C. $1,172 U.

D. $1,172 F.

A manufacturing company that has only one product has established the following standards for its

variable manufacturing overhead. The company uses direct labour-hours (DLHs) as its measure of

activity.

The following data pertain to operations for the last month:

76. What is the variable overhead spending variance for the month?

A. $255 F.

B. $255 U.

C. $10,821 F.

D. $10,821 U.

77. What is the variable overhead efficiency variance for the month?

A. $216 U.

B. $11,037 F.

C. $11,037 U.

D. $11,076 U.

Raff Co. has a standard cost system in which manufacturing overhead is applied to units of product on the

basis of direct labour-hours (DLHs). The following standards are based on 100,000 direct labour-hours:

Variable overhead: 2 DLHs @ $3 per DLH = $6 per unit

Fixed overhead: 2 DLHs @ $4 per DLH = $8 per unit

The following information pertains to operations during March:

78. For March, the variable overhead spending variance was?

A. $6,000 F.

B. $10,000 U.

C. $12,000 U.

D. $22,000 F.

79. For March, the fixed overhead volume variance was?

A. $80,000 U.

B. $80,000 F.

C. $96,000 U.

D. $96,000 F.

A furniture manufacturer has a standard costing system based on machine-hours (MHs) as the measure of

activity. Data from the company's flexible budget for manufacturing overhead are given below:

The following data pertain to operations for the most recent period:

80. What is the predetermined overhead rate to the nearest cent?

A. $21.16.

B. $21.26.

C. $21.80.

D. $21.90.