The difference between which two amounts equals the total variable overhead variance?
A)the actual overhead and the budgeted overhead
B)the total actual variable overhead and the total budgeted variable overhead
C)the total actual variable overhead and the total applied variable overhead
D)the total actual variable overhead and the total applied overhead

Question

Quizplus · Accepted Answer

The total variable overhead variance is calculated by comparing the total actual variable overhead with the total applied variable overhead. This variance measures the difference between what was actually spent on variable overhead and what was expected to be spent, based on the standard cost for the actual level of production.

The Difference Between Which Two Amounts Equals the Total Variable