Reference no: EM132979286

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

Standard hour per unit of output : 5.6 Hours
Standard variable overhead rate: 12.00 Per hour
The following data pertain to operations for the last month:
Actual hours : 2.600 Hours
Actual total variable manufacturing overhead cost :$ 31.330
Actual output: 400 units

Problem 1: What's the variable overhead rate variance for the month?

A) $4,450 U

B) $4,338 U

C) $130 U

D) $112 F