Reference no: EM132752628
Question - Frogue Corporation uses a standard cost system. The following information was provided for the period that just ended:
Actual price per kilogram $2.50
Actual kilograms of material used 31,000
Actual hourly labor rate $18.10
Actual hours of production 4,900 labor hrs.
Standard price per kilogram $2.80
Standard kilograms per completed unit 6 kilograms
Standard hourly labor rate $18.00
Standard time per completed unit 1 hr
Actual total factory overhead $34,900
Actual fixed factory overhead $18,000
Standard fixed factory overhead rate $1.20 per labor hour
Standard variable factory overhead rate $3.80 per labor hour
Maximum plant capacity 15,000 hours
Units completed during the period 5,000
?Required - Compute the total factory overhead cost variance?
a. $3,900 favorable.
b. $10,400 favorable.
c. $10,400 unfavorable.
d. $9,900 unfavorable.