139k views
5 votes
Judd Company uses standard costs for its manufacturing division. Standards specify 0.1 direct labor hours per unit of product. The allocation base for variable overhead costs is direct labor hours. At the beginning of the​ year, the static budget for variable overhead costs included the following​ data: Production volume 6 comma 300 units Budgeted variable overhead costs $ 16 comma 000 Budgeted direct labor hours 640 hours At the end of the​ year, actual data were as​ follows: Production volume 4 comma 100 units Actual variable overhead costs $ 15 comma 100 Actual direct labor hours 490 hours What is the variable overhead cost​ variance? (Round any intermediate calculations to the nearest​ cent, and your final answer to the nearest​ dollar.) A. $ 2 comma 852 U B. $ 15 comma 100 F C. $ 16 comma 000 U D. $ 3 comma 725 F

User Urko
by
5.3k points

1 Answer

2 votes

Answer:

D. $3725F

Step-by-step explanation:

User Chris Fu
by
6.6k points