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The Following Data for the Hermit Company Pertain to the Produc?tion

Question 122

Multiple Choice

The following data for the Hermit Company pertain to the produc?tion of 2,000 clay pigeons during July: Standard variable-overhead cost: $6.00 per pound of clay.
Total actual variable-overhead cost: $11,000.
Standard variable-overhead cost allowed for units produced was $12,000.
Variable-overhead efficiency variance was $240 unfavorable.
_____ is the variable-overhead flexible-budget variance.


A) $1,000 favorable
B) $240 unfavorable
C) $1,280 favorable
D) $1,000 unfavorable

Correct Answer:

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