Find and calculate the total factory overhead variance

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Beta Ltd is a shoe manufacturer. At the end of year their actual production and cost data are shown below:

Actual Overhead Cost $60468

Actual Hours worked $20156

Unit Produced 39650 pairs

The output for the period completed can be expressed as below:

Unit produced 39650 pairs or Hours worked (39 650 x 1.5) 59475 hours

Question 1: Calculate the total factory overhead variance if 1.5 hours of labour hour is assigned in flexible budget for allocating overhead cost of each pairs of production when budgeted overhead allocation rate was $1.05 per hour.

Reference no: EM132561275

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