Use the Following Information for the Next 5 Questions

question 68

Multiple Choice

Use the following information for the next 5 questions.
Mason, Inc. uses a standard costing system. Overhead costs are allocated based on direct labor hours. The standard variable overhead and fixed overhead rates are $1 and $5 per direct labor hour, respectively. Data relevant for the current period include:
-The variable overhead spending variance is

• A) $930 Favorable
• B) $2,070 Unfavorable
• C) $33,000 Unfavorable
• D) $33,000 Favorable

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Definitions:

Sternomastoid

Also known as the sternocleidomastoid muscle, it is a prominent muscle in the neck that plays a key role in rotating and flexing the head.

External Oblique

A muscle located on the side and front of the abdomen, involved in rotating and laterally flexing the spine.

Transverse Abdominis

A deep muscle layer of the abdominal wall that helps stabilize the core.