Imme Corporation's variable overhead is applied on the basis of direct labor-hours. The company has established the following variable overhead standards for product I81Z: The following data pertain to the most recent month's operations during which 1,360 units of product I81Z were made: Required:
a. What was the variable overhead rate variance for the month?
b. What was the variable overhead efficiency variance for the month?

Question

Imme Corporation's variable overhead is applied on the basis of direct labor-hours. The company has established the following variable overhead standards for product I81Z:  The following data pertain to the most recent month's operations during which 1,360 units of product I81Z were made:  Required:
a. What was the variable overhead rate variance for the month?
b. What was the variable overhead efficiency variance for the month?

Quizplus · Accepted Answer

The Answer of Imme Corporation's variable overhead is applied on the basis of direct labor-hours. The company has established the following variable overhead standards for product I81Z:  The following data pertain to the most recent month's operations during which 1,360 units of product I81Z were made:  Required:
a. What was the variable overhead rate variance for the month?
b. What was the variable overhead efficiency variance for the month?

Imme Corporation's Variable Overhead Is Applied on the Basis of Direct