Asked by
Gang day Playlist
on Nov 13, 2024
Verified
The total variance is $35000. The total materials variance is $14000. The total labor variance is twice the total overhead variance. What is the total overhead variance?
A) $3500
B) $7000
C) $10500
D) $14000
Total Variance
The overall difference between planned or standard costs and the actual costs incurred.
Total Labor Variance
The difference between the actual cost of labor and the budgeted or standard cost of labor over a period.
Total Overhead Variance
The difference between actual overhead costs incurred and overhead costs allocated to production, based on standard rates, during a specific period.
- Recognize and compute differences in direct materials (in terms of volume and cost) and direct labor (concerning productivity and wage).
Verified Answer
LF
Learning Objectives
- Recognize and compute differences in direct materials (in terms of volume and cost) and direct labor (concerning productivity and wage).