Gala Enterprises Collected the Following Data Regarding Production of One

question 89

Essay

Gala Enterprises collected the following data regarding production of one of its products. Compute the variable overhead cost variance, the variable overhead spending variance, the variable overhead efficiency variance, the fixed overhead cost variance, the fixed overhead spending variance, and the fixed overhead volume variance.
$\begin{array} { l l } \text { Direct labor standard (2 hrs. @ \$15/hr.) } & \$ 30.00 \text { per finished unit } \\\text { Actual direct labor hours } & 60,800 \text { hrs. } \\\text { Budgeted units } & 31,000 \text { units } \\\text { Actual finished units produced } & 30,000 \text { units } \\\text { Standard variable OH rate } ( 2 \text { hrs. @ } \$ 14.00 / \mathrm { hr } . ) & \$ 28.00 \text { per finished unit } \\\text { Standard fixed OH rate } ( \$ 310,000 / 31,000 \text { units) } & \$ 10.00 \text { per unit } \\\text { Actual variable overhead costs incurred } & \$ 857,600 \\\text { Actual fixed overhead costs incurred } & \$ 312,000\end{array}$

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Definitions:

Range Of Topics

A wide or varied collection of subjects, themes, or areas of discussion.

Administrative Assistant

A professional who provides support to managers and employees through a variety of tasks related to organization and communication.

Task-Related Objective

A goal or target directly related to the completion of a specific job duty or responsibility.

Appraisal Interview

A meeting between a supervisor and an employee to review the employee's job performance, discussing strengths, weaknesses, and paths for improvement.