The Following Information Relates to Leonard Manufacturing's Overhead Costs for the Month

question 81

Essay

The following information relates to Leonard Manufacturing's overhead costs for the month:
$$\begin{array} { | l | l | } \hline \text { Static budget variable overhead } & \$ 14,200 \\\hline \text { Static budget fixed overhead } & \$ 5,600 \\\hline \text { Static budget direct labor hours } & 1,000 \text { hours } \\\hline \text { Static budget number of units } & 5,000 \text { units } \\\hline\end{array}$$ Leonard allocates manufacturing overhead to production based on standard direct labor hours.
Leonard reported the following actual results for last month: actual variable overhead,$14,500; actual fixed overhead,$5,400; actual production of 4,700 units at 0.22 direct labor hours per unit.The standard direct labor time is 0.20 direct labor hours per unit.
Compute the fixed overhead cost variance.

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Definitions:

Patient

A person who is being treated or cared for by medical experts.

EHR System

An Electronic Health Record (EHR) system is a digital version of a patient's medical history, maintained by the provider over time, that includes patient information such as demographics, progress notes, medications, vital signs, past medical history, immunizations, laboratory data, and radiology reports.

Prescribing

The act of authorizing and advising the use of medical treatments, medications, or therapies by a healthcare professional.

Pharmacy

A location where prescription drugs are sold and advice on their safe use is provided; also refers to the branch of science concerned with the preparation, dispensing, and appropriate utilization of medication.