Overhead is applied on the basis of direct


The following information was taken from the annual manufacturing overhead cost budget of Coen Company.

  • Variable manufacturing overhead costs $69,300
  • Fixed manufacturing overhead costs $41,580
  • Normal production level in labor hours 23,100
  • Normal production level in units 5,775
  • Standard labor hours per unit 4

During the year, 5,600 units were produced, 18,340 hours were worked, and the actual manufacturing overhead was $113,400. Actual fixed manufacturing overhead costs equaled budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours. Coen's total overhead variance.

2. The following information was taken from the annual manufacturing overhead cost budget of Coen Company.

  • Variable manufacturing overhead costs $69,300
  • Fixed manufacturing overhead costs $41,580
  • Normal production level in labor hours 23,100
  • Normal production level in units 5,775
  • Standard labor hours per unit 4

During the year, 5,600 units were produced, 18,340 hours were worked, and the actual manufacturing overhead was $113,400. Actual fixed manufacturing overhead costs equaled budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours. Coen's controllable overhead variance is

b. $4,620 U.

3. The following information was taken from the annual manufacturing overhead cost budget of Coen Company.

  • Variable manufacturing overhead costs $69,300
  • Fixed manufacturing overhead costs $41,580
  • Normal production level in labor hours 23,100
  • Normal production level in units 5,775
  • Standard labor hours per unit 4

During the year, 5,600 units were produced, 18,340 hours were worked, and the actual manufacturing overhead was $113,400. Actual fixed manufacturing overhead costs equaled budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours. Coen's volume overhead variance is

4. Sonic Corporation%u2019s variance report for the purchasing department reports 500 units of material A purchased and 1,200 units of material B purchased. It also reports standard prices of $2 for Material A and $3 for Material B. Actual prices reported are $2.10 for Material A and $2.80 for Material.

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: Overhead is applied on the basis of direct
Reference No:- TGS0684403

Expected delivery within 24 Hours