The following data have been provided by Moretta Corporation, a company that produces forklift trucks: Budgeted production 3,400trucksStandard machine-hours per truck 2.9machine-hoursStandard supplies cost$1.50per machine-hourActual production 3,800trucksActual machine-hours 10,930machine-hoursActual supplies cost (total)$17,496 Supplies cost is an element of variable manufacturing overhead. The variable overhead efficiency variance for supplies cost is:

A. $135 F
B. $135 U
C. $966 U
D. $966 F


Answer: A

Business

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