Hien, Inc Uses Machine-Hours as the Base to Apply Its Manufacturing

question 53

Multiple Choice

Hien, Inc. uses machine-hours as the base to apply its manufacturing overhead. The following information relates to variable manufacturing overhead standards at Hien: Standard rate per machine-hour: $50
Total standard machine-hours allowed for units produced during September: 4,000
Hien's variable overhead rate variance for September was $800 favorable. Its variable overhead efficiency variance was $3,600 unfavorable. How many machine-hours did Hien actually use during September?

• A)3,928
• B)3,944
• C)4,056
• D)4,072

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Definitions:

Interest Rates

The share of a loan attributed to interest charges to the borrower, regularly described as an annual percentage of the remaining loan balance.

Thrift Institutions

Financial institutions, such as savings banks and credit unions, that primarily accept savings deposits and make loans to consumers.

Commercial Banks

Financial institutions that accept deposits, offer various loans, and provide other financial services, like currency exchange and wealth management.

Open Market

A venue or environment in which financial securities, commodities, and assets are bought and sold without restrictions.