The LAH Company Produces Product BG,which Includes Variable Overhead Standard $$\begin{array} { l c } \text { Production } & 3,100 \\\text { Hours incurred } & 16,000 \\\text { Variable overhead } & £ 235,00\end{array}$$

question 5

Multiple Choice

The LAH company produces product BG,which includes variable overhead standard cost of 5 hours at £15 per hour,based on a budget production of 3,000 units.The actual results for the last period were as follows:
$$\begin{array} { l c } \text { Production } & 3,100 \\\text { Hours incurred } & 16,000 \\\text { Variable overhead } & £ 235,00\end{array}$$
Calculate the variable overhead efficiency variance.

• A) £5,000 favorable
• B) £5,000 adverse
• C) £7,500 favorable
• D) £7,500 adverse

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Definitions:

Written Communication

The process of conveying messages or information through written symbols, including letters, emails, and reports.

Communication Technologies

Refers to tools and platforms used for facilitating communication, including the internet, mobile devices, social media, and email.

Reflective Listening

A communication method in which the listener restates what has been said in order to confirm understanding of both the content and the feelings expressed.

Limited Partnership

A business structure where one or more general partners manage the business and are personally responsible for its debts, and one or more limited partners contribute capital but have limited liability.