Author Question: Zitrik Corporation manufactured 90,000 buckets during February. The variable overhead ... (Read 61 times)

joe · **on:** Mar 6, 2021

Question 1

Zitrik Corporation manufactured 130,000 buckets during February. The variable overhead cost-allocation base is $5.30 per machine-hour. The following variable overhead data pertain to February:

Actual

Budgeted

Production

130,000 units

Machine-hours

9,500 hours

9,000 hours

Variable overhead cost per machine-hour

$5.35

$5.30

What is the variable overhead efficiency variance?
◦ $2,650 unfavorable
◦ $2,675 favorable
◦ $2,650 favorable
◦ $2,675 unfavorable.

Question 2

Zitrik Corporation manufactured 90,000 buckets during February. The variable overhead cost-allocation base is $5.10 per machine-hour. The following variable overhead data pertain to February:

Actual

Budgeted

Production

90,000 units

Machine-hours

9,800 hours

9,000 hours

Variable overhead cost per machine-hour

$5.25

$5.10

What is the actual variable overhead cost?
◦ $472,500
◦ $459,000
◦ $51,450
◦ $49,980

bbburns21 · **Reply #1 on:** Mar 6, 2021

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