Teall Corporation has a standard cost system in which it applies manufacturing overhead to products on the basis of standard machine-hours (MHs). The company has provided the following data for the most recent month: Budgeted level of activity 8,500MHsActual level of activity 8,600MHsStandard variable manufacturing overhead rate$5.70per MHBudgeted fixed manufacturing overhead cost$50,000 Actual total variable manufacturing overhead$51,600 Actual total fixed manufacturing overhead$54,000 What was the fixed manufacturing overhead budget variance for the month?

A. $570 Favorable
B. $570 Unfavorable
C. $4,000 Unfavorable
D. $4,000 Favorable


Answer: C

Business

You might also like to view...

Companies stretch downward to add prestige to their current products

Indicate whether the statement is true or false

Business

According to a study cited in the textbook, inadequate management practices are associated with project failure. What is the percentage?

A) 45% B) 65% C) 25% D) 5%

Business

Many companies have to monitor some of their financial statement ratios, such as the current ratio, due to debt covenants. Selected transactions are provided below for a company that uses a perpetual inventory system; sells its merchandise at a selling price that exceeds cost; and had a current ratio of 1.85 to 1 before the event occurred.Required:In the above table, indicate whether each transaction would increase (+), decrease (?), or not affect (0) the company's working capital and the current ratio.

What will be an ideal response?

Business

At common law, a valid contract may not be entered into on Sunday

Indicate whether the statement is true or false

Business