Arca Incorporated makes a single product-a critical part used in commercial airline seats. The company has a standard cost system in which it applies overhead to this product based on the standard machine-hours allowed for the actual output of the period. Data concerning the most recent year appear below: Budgeted (Planned) Overhead: Budgeted variable manufacturing overhead$38,700 Budgeted fixed manufacturing overhead 170,700 Total budgeted manufacturing overhead$209,400 Budgeted production (a) 20,000units Standard hours per unit (b) 1.50machine-hours Budgeted hours (a) × (b) 30,000machine-hours Applying Overhead: Actual production (a) 15,000units Standard hours per unit (b) 1.50machine-hours Standard hours allowed for the
actual production (a) × (b) 22,500machine-hours Actual Overhead and Hours: Actual variable manufacturing overhead$9,812 Actual fixed manufacturing overhead 185,700 Total actual manufacturing overhead$195,512 Actual hours 22,300machine-hours ?The fixed overhead budget variance is:
A. $57,675 F
B. $57,675 U
C. $15,000 U
D. $15,000 F
Answer: C
You might also like to view...
Which of the following choices is NOT a conflict-related axiom relevant to communication?
A. Conflict develops due to perceived mutually exclusive goals. B. Conflict involves parties who may have different values or perceptions. C. Conflict terminates only when each side is satisfied that it has won or lost. D. All of these are axioms.
A key advantage of teams and groups is that under the right circumstances they enhance productivity
Indicate whether the statement is true or false.
________ is a supplier relation in which the buyer and seller are partners, each helping the other as much as possible
Fill in the blanks with correct word
Identify and describe two pricing models pertinent to the social media age.
What will be an ideal response?