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.

---

Definitions:

Rapport

is the establishment of a trusting and harmonious relationship, especially in a professional or therapeutic setting.

Engagement

The degree of attention, curiosity, interest, optimism, and passion that students show when they are learning or being taught.

DSM Published

Refers to the publication of the Diagnostic and Statistical Manual of Mental Disorders, a handbook used by healthcare professionals as the authoritative guide to diagnosing mental disorders.

Legal Document

An official paper that records agreements, rights, or obligations with legal significance.