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15 November, 22:56

A manufacturing company that has only one product has established the following standards for its variable manufacturing overhead. The company uses machine-hours as its measure of activity. The following data pertain to operations for the last month: What is the variable overhead efficiency variance for the month? Select one: a. $8,842 U b. $1,013 F c. $8,843 F d. $8,730 U

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  1. 15 November, 23:20
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    Variable overhead efficiency variance = (Standard Quantity - Actual Quantity) * Standard rate

    Explanation:

    We weren't provided with enough information to calculate the variable overhead efficiency variance. But, I will provide the formula.

    To calculate the variable overhead efficiency variance, we need to use the following formula:

    Variable overhead efficiency variance = (Standard Quantity - Actual Quantity) * Standard rate

    Standard quantity = number of units produced*standard machine-hours
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