The laramie corporation manufactures product x that


Question - The Laramie Corporation manufactures Product X that consumes a large amount of overhead. For the month of October Laramie produced 15,250 units of Product X and incurred actual variable overhead costs of $375,000. The standard costs developed for Product X by Laramie follow:

Standard direct labor hours per unit: 2

Standard direct labor rate per hour: $15.00

Standard variable overhead hours per unit: 6

Standard variable overhead rate per hour: $5.50

What was the total variable overhead variance for Product X in October?

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