What is the overhead volume variance


Question 1: In the direct labor variance matrix, there are three factors: (1) Actual hours × Actual rate, (2) Actual hours × Standard rate, and (3) Standard hours × Standard rate. Using the numbers, indicate the formulas for each of the direct labor variances.       
       
Question 2: Dant Company's standard predetermined overhead rate is $6.00 per direct labor hour. For the month of June, 26,000 actual hours were worked, and 27,500 standard hours were allowed. Normal capacity hours were 28,000. How much overhead was applied?       
       
     $6.00     standard predetermined overhead rate
     26,000     actual hours
     27,500     standard hours
     28,000     Normal capacity hours
       
Question 3: If the $6.00 per hour overhead rate in question 12 consists of $4.00 variable, and actual overhead costs were $163,000, what is the overhead controllable variance for June? Is the variance favorable or unfavorable?       
       
Question 4: Using the data in questions 2 and 3, what is the overhead volume variance for June? Is the variance favorable or unfavorable?       

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