Argon Company Makes Clocks

question 78

Essay

Argon Company makes clocks.The fixed overhead costs for 2015 total $880,000.The company uses direct labor-hours for fixed overhead allocation and anticipates 220,000 hours during the year for 330,000 units.An equal number of units are budgeted for each month.
During June,32,000 clocks were produced and $72,000 was spent on fixed overhead.
Required:
a.Determine the fixed overhead rate for 2015 based on units of input.
b.Determine the fixed overhead static-budget variance for June.
c.Determine the production-volume overhead variance for June.

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Definitions:

Saccadic Eye Movement

Rapid movements of the eye that change the point of fixation, allowing the eye to quickly scan different areas of the visual field.

Visual Areas

Regions of the brain involved in processing visual information, located primarily in the occipital lobe.

Peripheral Vision

The part of vision that occurs outside the very center of gaze, allowing humans to detect movement and shapes without focusing directly on them.

Saccades

Rapid eye movements between periods of fixation, used in reading and scanning visual environments.