ACCOUNTING
Multiple Choice
Jenny’s Corporation manufactured 25,000 grooming kits for horses during March. The fixed-overhead cost-allocation rate is $20.00 per machine-hour. The following fixed overhead data pertain to March.
Actual Static Budget
Production 25,000 units 24,000 units
Machine-hours 6,100 hours 6,000 hours
Fixed overhead costs for March $123,000 $120,000
What is the fixed overhead production-volume variance?
a. $1,000 unfavorable
b. $2,000 favorable
c. $3,000 unfavorable
d. $5,000 favorable
Click here for the SOLUTION
No comments:
Post a Comment