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Author Question: DeNozio Enterprises gathered the following information for the month of July:Overhead flexible ... (Read 14 times)

cool

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DeNozio Enterprises gathered the following information for the month of July:

Overhead flexible budget:
Number of units 9,000 12,000 15,000
Standard machine hours 12,000 16,000 20,000
Budgeted variable overhead costs $27,000 $36,000 $45,000
Budgeted fixed overhead costs $51,000 $51,000 $51,000

Gordon actually produced 13,000 units in 16,400 machine hours. Total actual overhead cost of $93,000 consisted of $33,000 variable costs and $49,000 fixed costs. The standard variable and fixed overhead rates are based on a master (static) budget of 12,000 units. Assume the allocation base for fixed overhead costs is the number of units.

Required:
1.  Compute the total manufacturing overhead cost variance.
2.  Compute the variable overhead flexible budget variance.
3.Compute the fixed overhead budget variance.
4.   Compute the production volume variance.


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Marked as best answer by cool on Jan 5, 2020

cuttiesgirl16

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cool

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Reply 2 on: Jan 5, 2020
YES! Correct, THANKS for helping me on my review


emsimon14

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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