The Standard Factory Overhead Rate Is $7

question 79

Multiple Choice

The standard factory overhead rate is $7.50 per machine hour ($6.20 for variable factory overhead and $1.30 for fixed factory overhead) based on 100% of normal capacity of 80,000 machine hours. The standard cost and the actual cost of factory overhead for the production of 15,000 units during August were as follows: What is the amount of the fixed factory overhead volume variance?

• A) $12,000 unfavorable
• B) $12,000 favorable
• C) $14,000 unfavorable
• D) $26,000 unfavorable

Recognize the origin and application of matrix structures in organizational design.

Comprehend the impact of decentralization on governmental and organizational performance.

Identify the role of standardization in ensuring consistent work performance.

Grasp the concept of coordination in organization and its importance in achieving consistency.

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Definitions:

Healthcare Common Procedural Coding System

A set of medical codes used to report medical, surgical, and diagnostic services and procedures to healthcare insurance providers for the purpose of billing.

Current Procedural Terminology

A set of codes, guidelines, and descriptors used to describe medical, surgical, and diagnostic services provided by healthcare professionals.

American Medical Association

A professional association for physicians in the United States aimed at advancing public health and ethical standards in the medical profession.

American Hospital Formulary

A comprehensive listing of medications and related information used by hospitals, aimed at promoting effective and safe use of drugs.