Reference no: EM13970358
Scientific Molded Products Inc. prepared the following factory overhead cost budget for the Trim Department for August 2010, during which it expected to use 10,000 hours for production:
Scientific Molded Products has available 15,000 hours of monthly productive capacity in the Trim Department under normal business conditions. During August, the Trim Department actually used 11,000 hours for production. The actual fixed costs were as budgeted. The actual variable overhead for August was as follows:
Actual variable factory overhead cost:
Indirect factory labor .................... $27,000
Power and light ............................. 4,000
Indirect materials ......................... 13,500
Total variable cost ....................... $44,500
Construct a factory overhead cost variance report for the Trim Department for August.
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