Geschke Corporation, which produces commercial safes, has provided the following data: Budgeted production 8,500safesStandard machine-hours per safe 9.1machine-hoursStandard supplies cost$1.70per machine-hourActual production 8,700safesActual machine-hours 79,100machine-hoursActual supplies cost$123,642 ?Supplies cost is an element of variable manufacturing overhead.?The variable overhead rate variance for supplies is closest to:

A. $10,828 F
B. $10,947 U
C. $10,947 F
D. $10,828 U


Answer: A

Business

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