Bluecap Company uses'a standard cost system and flexible budgets for control purposes. The following budgeted...
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Accounting
Bluecap Company uses'a standard cost system and flexible budgets for control purposes. The following budgeted information pertains to 2021: During 2021, Bluecap worked 26,000 DLHs and manufactured 9,100 units. The actual factory overhead cost for the year was $17,000 greater than the flexible budget amount for the units produced, of which $7,000 was due to fixed factory overhead. In preparing a budget for 2022 Bluecap decided to raise the level of operation to 90% of capacity (a level it considers to be "practical capacity"), to manufacture 8,500 units at a budgeted total of 25,500DLHs. The variable overhead spending variance in 2021 for Bluecap Company was: (Round your intermediate calculation to 2 decimal places.) $7,000 unfavorable. $13,931 unfavorable. $15,131 favorable. $17,371 unfavorable. $24,371 unfavorable
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