Use the Information Below to Answer the Following Question(s)

question 256

Multiple Choice

Use the information below to answer the following question(s) .
Chilson Company manufactures custom engines for use in the lawn and garden equipment industry. The company allocates manufacturing overhead based on machine hours. Selected data for costs incurred for Job 612 are as follows:

-What was the amount allocated for manufacturing overhead on Job 612?

• A) $7,200
• B) $4,800
• C) $5,400
• D) $3,500

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Definitions:

Fixed Factory Overhead Volume Variance

The difference between the budgeted and actual fixed overhead costs, attributable to variations in the volume of production.

Supervisors

Individuals in an organization responsible for overseeing the work of employees and managing their performance.

Volume Variance

The difference between the budgeted fixed overhead at 100% of normal capacity and the standard fixed overhead for the actual units produced.

Factory Overhead Cost

All of the costs of producing a product except for direct materials and direct labor.