Reference no: EM132779242

Frogue Corporation uses a standard cost system. The following information was provided for the period that just ended:

Actual price per kilogram $2.50
Actual kilograms of material used 31,000
Actual hourly labor rate $18.10
Actual hours of production 4,900 labor hrs.
Standard price per kilogram $2.80
Standard kilograms per completed unit 6 kilograms
Standard hourly labor rate $18.00
Standard time per completed unit 1 hr.
Actual total factory overhead $34,900
Actual fixed factory overhead $18,000
Standard fixed factory overhead rate $1.20 per labor hour
Standard variable factory overhead rate $3.80 per labor hour
Maximum plant capacity 15,000 hours
Units completed during the period 5,000
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Problem 1: The total factory overhead cost variance is:

a. $3,900 favorable.

b. $10,400 favorable.

c. $10,400 unfavorable.

d. $9,900 unfavorable.