Logistics Solutions mainteins warehouses that stock items carried by its
dot.com clients. When a client receives an order from a
customer, the order is forwerded to Logistics Solutions, which pulls the item from storoge, pocks it ond ships it to the customer. The
company uses a predetermined variable overhead rote based on direct laborhours.
In the most recent month, items were shipped to customers using direct laborhours. The compony incurred a total of
$ in varisble overhesd costs.
According to the company's standerds, direct laborhour is required to fulfill on order for one item and the variable overhesd rate
is $ per direct laborhour.
Requlred:
What is the standard iaborhours allowed SH to ship items to customers?
What is the standard variable overheod cost allowed to ship items to customers?
What is the variable overhesol spending variance?
What are the variable overheod rate variance and the variable overhesd efficiency variance?
Note: For requirements and Indicate the effect of each varlance by selecting F for favorable, U for unfavorable, and
"None" for no effect Ie zero varlance Input all amounts as positive values. Do not round intermediate calculations.