The Following Information for the Past Year Is Available from Thinnews

question 16

Multiple Choice

The following information for the past year is available from Thinnews Co., a company that uses machine hours to apply standard factory overhead cost to outputs: $\begin{array}{lrr}\text { Actual total factory overhead cost incurred } & \$ 24,000 \\\text { Actual fixed overhead cost incurred } & \$ 10,000 \\\text { Budgeted fixed overhead cost } & \$ 11,000 \\\text { Actual machine hours } & 5,000 \\\text { Standard machine hours allowed for the units manufactured } & 4,800 \\\text { Denominator volume-machine hours } & 5,500 \\\text { Standard variable overhead rate per machine hour } & \$ 3.00\end{array}$ Under a three-variance breakdown (decomposition) of the total factory overhead variance, the total factory overhead spending variance, to the nearest whole dollar, is:

• A) $0.
• B) $600 unfavorable.
• C) $1,400 favorable.
• D) $1,400 unfavorable.
• E) $2,000 favorable.

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Definitions:

Job Application Form

A company’s form that is completed by a job applicant, indicating the applicant’s contact information, education, prior employment, references, special skills, and other details pertaining to the position.

Suitability

The appropriateness or fitness of a person or thing for a specific purpose or situation, often assessed through the lens of qualifications, capabilities, and circumstances.

Environmental Conditions

The various external factors and contexts, such as weather, climate, and natural settings, that can affect activities, well-being, or performance.

Human Resource Plan

A firm’s overall plan to fill existing and future vacancies, including decisions on whether to fill internally or to recruit from outside.