what is the fixed overhead volume variance? (assume the allocation based for fixed overhead costs...
60.1K
Verified Solution
Link Copied!
Question
Accounting
what is the fixed overhead volume variance? (assume the allocation based for fixed overhead costs is machine hours) please show work
Lichfield Industries gathered the following information for the month ended June 30 The static budget volume is 2,000 units Overhead flexible budget Number of units 13.000 14.000 15.000 Standard machine hours 31,200 33,600 36,000 Budgeted variable overhead 578,000 584,000 $90.000 Budgeted fixed overhead costs 521,600 $21,600 $21.500 Actual production was 7.000 units. Actual overhead costs were $27.000 for variable costs and 538,000 for fed costs. Actual machine hours worked were 16.000 hours O A 554,000 favorable OB. 516,800 favorable OC.154.000 unfavorable OD 516.800 unfavorable
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
