Variable-manufacturing overhead costs were __________ for actual output

ACCOUNTING

Multiple Choice

White Corporation manufactures football jerseys and uses budgeted machine-hours to allocate variable manufacturing overhead. The following information pertains to the company's manufacturing overhead data.


Budgeted output units 20,000 units

Budgeted machine-hours 30,000 hours

Budgeted variable manufacturing overhead costs for 20,000 units $360,000



Actual output units produced 18,000 units

Actual machine-hours used 28,000 hours

Actual variable manufacturing overhead costs $342,000


Variable-manufacturing overhead costs were __________ for actual output

a. higher than expected

b. the same as expected

c. lower than expected

d. unable to be determined

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