The Standard Fixed Factory Overhead Rate Is Based on 100

question 58

Multiple Choice

The standard fixed factory overhead rate is based on 100% capacity of 50,000 direct labor hours.The standard costs and the actual costs for factory overhead for the production of 8,000 units during the current month were as follows:

If there was a $9,000 unfavorable volume variance for December,what is the standard fixed factory overhead cost rate?

• A)$1.00
• B)$0.90
• C)$2.40
• D)$0.80

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Definitions:

Attachment

The strong, enduring, emotional bond between a child and its caregivers that some psychologists consider the basis for relationships later in life.

Moral Reasoning

The process of determining right and wrong in a given situation based on ethical principles and moral codes.

Permissive

An adjective describing a type of behavior or attitude that is tolerant, lenient, or not strict.

Authoritative

Describing a commanding and confident nature or approach, often associated with respect and compliance from others.