contestada

Maertz Corporation applies manufacturing overhead to products on the basis of standard machine-hours. The budgeted fixed manufacturing overhead cost for the most recent month was $10,890 and the actual fixed manufacturing overhead cost for the month was $10,540. The company based its original budget on 3,300 machine-hours. The standard hours allowed for the actual output of the month totaled 3,240 machine-hours. What was the overall fixed manufacturing overhead budget variance for the month

Respuesta :

Parrain

Answer: $350 Favorable

Explanation:

Fixed manufacturing overhead budget variance = Budgeted fixed overhead cost - Actual fixed overhead

= 10,890 - 10,540

= $350

As the Budgeted fixed overhead cost is larger than the Actual fixed overhead, that means that the company spent less than it budgeted to spend so the variance is FAVORABLE.

Otras preguntas