Essay
Fatal Inc.manufactures parachutes.Fixed and variable manufacturing cost pools are allocated to each parachute using budgeted assembly hours.Budgeted assembly time is 4 hours per unit.The following table presents the amounts for July. 
Required:
a.Calculate the efficiency variance for variable overhead costs.
b.Calculate the rate variance for variable overhead costs.
c.Calculate the rate variance for fixed overhead costs.
d.Calculate the production-volume variance for fixed overhead costs.
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Static budget production hours = 240 uni...View Answer
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Correct Answer:
Verified
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