Use the Following to Answer Question

question 82

Essay

Use the following to answer question:
Figure 3.25
-(Figure 3.25) Refer to Figure 3.25 to answer the following questions:

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Definitions:

Fixed Overhead Volume

A measurement of the costs that remain constant regardless of the company's level of production or business activity.

Overapplied

In cost accounting, this refers to a situation where the allocated overhead costs exceed the actual overhead costs incurred.

Variable Overhead Rate

The per-unit cost of overhead that changes with the level of production or activity.

Efficiency Variances

The differences between actual costs and the standard or budgeted costs based on the efficient use of resources.