Mongar Corporation applies manufacturing overhead to products on the basis of standard machine-hours. Budgeted and actual overhead costs for the most recent month appear below: Original BudgetActual CostsVariable overhead costs:      Supplies$7,980 $8,230 Indirect labor 29,820  29,610 Total variable manufacturing overhead cost$ 37,800 $ 37,840 The original budget was based on 4,200 machine-hours. The company actually worked 4,350 machine-hours during the month and the standard hours allowed for the actual output were 4,190 machine-hours. What was the overall variable overhead efficiency variance for the month?

A. $950 Favorable
B. $130 Unfavorable
C. $1,310 Favorable
D. $1,440 Unfavorable


Answer: D

Business

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