Answer the Following Questions Using the Information Below:
Alice Springs

question 25

Multiple Choice

Answer the following questions using the information below:
Alice Springs Corporation manufactures industrial-sized water coolers and uses budgeted machine-hours to allocate variable manufacturing overhead.The following information pertains to the company's manufacturing overhead data:
$$\begin{array} { l r } \text { Budgeted output units } & 20000 \text { units } \\\text { Budgeted machine-hours } & 6000 \text { hours } \\\text { Budgeted variable manufacturing overhead costs for } 20000 \text { units } & \$ 161250 \\& \\\text { Actual output units produced } & 24000 \text { units } \\\text { Actual machine-hours used } & 7200 \text { hours } \\\text { Actual variable manufacturing overhead costs } & \$ 242000\end{array}$$
-What is the budgeted variable overhead cost rate per output unit?

• A)$8.06
• B)$11.00
• C)$48.40
• D)$32.25