Reference no: EM132763874

The following standards for variable manufacturing overhead have been established for a company that makes only one product:

Standard quantity per unit of output1.6hours

Standard variable overhead rate$11.55per hour

The following data pertain to operations for the last month:

Actual hours 4,900hours

Actual total variable overhead cost$58,310

Actual output 3,000units

Problem 1: What is the variable overhead efficiency variance for the month?

Multiple Choice

Option 1: $1,155 U.
Option 2: $1,190 U.
Option 3: $1,190 F.
Option 4: $1,680 U.