Reference no: EM132996570

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

• Standard hours 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 manufacturing overhead cost $58,310
• Actual output 3,000units

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

a) $1,680 F
b) $1,155 U
c) $1,190 F
d) $1,190 U