A manufacturing company that has only one product has established the following standards for its variable manufacturing overhead. The company bases its variable manufacturing overhead standards on direct labor-hours. Standard hours per unit of output 7.2DLHsStandard variable overhead rate$14.20per DLH?The following data pertain to operations for the last month: Actual direct labor-hours 5,100DLHsActual total variable manufacturing overhead cost$72,165 Actual output 600units?What is the variable overhead rate variance for the month?

A. $10,821 F
B. $255 F
C. $255 U
D. $10,821 U


Answer: B

Business

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