Fletcher Company collected the following data regarding production of one of its products.

-Compute the variable overhead spending variance.
A)$25,450 favorable.
B)$4,000 favorable.
C)$4,000 unfavorable.
D)$21,450 unfavorable..
E)$21,450 favorable.

Question

Fletcher Company collected the following data regarding production of one of its products.

-Compute the variable overhead spending variance. 
A)$25,450 favorable. 
B)$4,000 favorable. 
C)$4,000 unfavorable. 
D)$21,450 unfavorable.. 
E)$21,450 favorable.

Quizplus · Accepted Answer

Variable overhead spending variance = Actual variable overhead - Budgeted variable overhead= $20,000 - $24,000= $4,000 favorable

Fletcher Company Collected the Following Data Regarding Production of One