Question

Jupiter Co. applies overhead based on direct labor hours. The variable overhead standard is 4 hours at $12 per hour. During February, Jupiter Co. spent $113,400 for variable overhead. 9,150 labor hours were used to produce 2,400 units. What is the variable overhead efficiency variance

Answer 1

YOUR ANSWER IS GIVEN BELOW:

Step-by-step explanation:

Variable overhead efficiency variance

= (SLH - ALH) * SR

= (2400*4 - 9150) * 12

= 5400 F