Ledezma Corporation makes a product with the following standards for direct labor and variable overhead:

In May the company produced 2,500 units using 1,210 direct labor-hours. The actual variable overhead cost was $9,922. The company applies variable overhead on the basis of direct labor-hours.
-The variable overhead rate variance for May is:
A)$242 U
B)$250 F
C)$250 U
D)$242 F

Question

Ledezma Corporation makes a product with the following standards for direct labor and variable overhead:

In May the company produced 2,500 units using 1,210 direct labor-hours. The actual variable overhead cost was $9,922. The company applies variable overhead on the basis of direct labor-hours.
-The variable overhead rate variance for May is:
A)$242 U 
B)$250 F 
C)$250 U 
D)$242 F

Quizplus · Accepted Answer

The Answer of Ledezma Corporation makes a product with the following standards for direct labor and variable overhead:

In May the company produced 2,500 units using 1,210 direct labor-hours. The actual variable overhead cost was $9,922. The company applies variable overhead on the basis of direct labor-hours.
-The variable overhead rate variance for May is:
A)$242 U 
B)$250 F 
C)$250 U 
D)$242 F

Ledezma Corporation Makes a Product with the Following Standards for Direct