Mauve Company uses a standard cost system in which it applies manufacturing overhead to units of product on the basis of standard direct labor-hours (DLHs). The following data pertain to last month:
The fixed manufacturing overhead budget variance is:
A) $400 U
B) $500 F
C) $300 F
D) $300 U

Question

Mauve Company uses a standard cost system in which it applies manufacturing overhead to units of product on the basis of standard direct labor-hours (DLHs). The following data pertain to last month: 
The fixed manufacturing overhead budget variance is:
A) $400 U 
B) $500 F 
C) $300 F 
D) $300 U

Quizplus · Accepted Answer

The Answer of Mauve Company uses a standard cost system in which it applies manufacturing overhead to units of product on the basis of standard direct labor-hours (DLHs). The following data pertain to last month: 
The fixed manufacturing overhead budget variance is:
A) $400 U 
B) $500 F 
C) $300 F 
D) $300 U

Mauve Company Uses a Standard Cost System in Which It