Budgeted Variable Overhead for the Year Was $130,000

question 124

Multiple Choice

Budgeted variable overhead for the year was $130,000. Expected activity was 20,000 standard direct labour hours. The actual hours worked were 18,250, and the standard hours allowed for actual production were 19,750. What was the variable overhead efficiency variance?

• A) $0
• B) $1,500 F
• C) $9,750 F
• D) $12,000 F

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