Multiple Choice
Pearce Company
Pearce Company uses a standard cost system for its production process.Pearce Company applies overhead based on direct labor hours.The following information is available for July:
| Standard: | |
| DLH per unit | 2.20 |
| Variable overhead per DLH | $2.50 |
| Fixed overhead per DLH | |
| Budgeted variable overhead | $3.00 |
| (based on 11,990 DLHs) |
| Actual: | |
| Units produced | 4,400 |
| Direct labor hours | 8,800 |
| Variable overhead | $29,950 |
| Fixed overhead | $42,300 |
Refer to Pearce Company Using the three-variance approach,what is the efficiency variance?
A) $11,770 F
B) $2,200 F
C) $7,975 U
D) $5,775 U
Correct Answer:
Verified
Correct Answer:
Verified
Q23: Explain the source of fixed overhead spending
Q24: Pearce Company<br>Pearce Company uses a standard cost
Q25: When multiple labor categories are used,the financial
Q26: Jenkins Manufacturing<br>The following information is available
Q27: A fixed overhead volume variance is a
Q29: The formula for price/rate variance is (AP
Q30: Pests Away Company manufactures a product effective
Q31: In a totally automated organization,using theoretical capacity
Q32: Standards that provide for no human limitations
Q33: When multiple labor categories are used,the financial