Variable Overhead Variances
Marshfield Tax Company considers direct labor hours or tax returns its normal monthly capacity. Its standard variable overhead rate is $ per direct labor hour. During the current month, $ of variable overhead cost was incurred in working direct labor hours to produce units of product. Determine the following variances, and indicate whether each is favorable or unfavorable:
Determine the following variances:
Do not use negative signs with any of your answers. Next to each variance answer, select either F for Favorable or U for Unfavorable.
tableVariable Overhead VariancesActual cost$Split cost:$Standard cost:$a Variable overhead spending,$hat
