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The following standards for variable overhead have been establishedfor a company that makes only one product:

Standard hours per unit of output: 4.5 hours
Standard variable overhead rate: $16.00 per hour

The following data pertain to operations for the last month:

Actual hours: 8,200 hours
Actual total variable overhead cost: $125,000
Actual output: 1,810 units

What is the variable overhead rate variance for the month? (F orU)
What is the variable overhead efficiency variance for the month? (For U)

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Jarrod Robel
Jarrod RobelLv2
28 Sep 2019

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