The Dillon Corporation Makes and Sells a Single Product

Multiple Choice

The Dillon Corporation makes and sells a single product. Overhead costs are applied on the basis of standard direct labor-hours. The standard cost card shows that 5 direct labor-hours are required per unit. The Dillon Corporation had the following budgeted and actual data for March: The variable overhead rate variance for March is:

A) $4,900 U
B) $11,060 U
C) $14,700 U
D) $17,300 U