Match Point, Inc. has the following overhead standards:
Variable overhead: 4 hours at $8 per...
Business, 11.03.2020 23:42 2025hollowaykyva
Match Point, Inc. has the following overhead standards:
Variable overhead: 4 hours at $8 per hour
Fixed overhead: 4 hours at $10 per hour
The standards were based on a planned activity of 20,000 machine hours when 5,000 units were scheduled for production. Actual data follow:
Variable overhead incurred: $167,750
Fixed overhead incurred: $210,000
Machine hours worked: 19,800
Actual units produced: 5,100
Draco's fixed-overhead budget variance is:
a. $6,000 unfavorable.
b. $7,000 unfavorable.
c. $10,000 unfavorable.
d. $12,000 unfavorable.
e. None of the other answers are correct.
Answers: 2
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