Use the following information to answer Questions below.
The following data relates to Camire Corporation's operations for the month. 3,000 finished units of product were produced and the normal monthly capacity is 4,800 direct labor hours.

-What is the variable overhead efficiency variance?
A) $1,500 U
B) $1,500 F
C) $3,000 U
D) $3,000 F
E) None of the above

Question

Use the following information to answer Questions below.
The following data relates to Camire Corporation's operations for the month. 3,000 finished units of product were produced and the normal monthly capacity is 4,800 direct labor hours.
 
-What is the variable overhead efficiency variance?
A) $1,500 U 
B) $1,500 F 
C) $3,000 U 
D) $3,000 F 
E) None of the above

Quizplus · Accepted Answer

SR (AH-SH) = $5 x (4,200 - 4,500) = $1,500 F

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