Coblentz Fabrication Corporation Has a Standard Cost System in Which

question 79

Multiple Choice

Coblentz Fabrication Corporation has a standard cost system in which it applies manufacturing overhead to products on the basis of standard machine-hours (MHs) at $6.20 per MH. The company had budgeted its fixed manufacturing overhead cost at $40,000 for the month. During the month, the actual total variable manufacturing overhead was $48,970 and the actual total fixed manufacturing overhead was $43,000. The actual level of activity for the period was 8,300 MHs. What was the total of the variable overhead rate and fixed manufacturing overhead budget variances for the month?

• A)$2,490 Favorable
• B)$510 Favorable
• C)$510 Unfavorable
• D)$2,490 Unfavorable

---

Definitions:

Prototype

A typical or initial model of something from which other forms are developed or copied, often used in the context of design and innovation.

Exemplar

A representative example of a category or class, often used to illustrate or explain concepts.

Prototype

A typical or standard example of a particular category or concept, serving as a representative model.

Category

A category is a class or division of people or things regarded as having particular shared characteristics.