The following information was taken from the annual manufacturing overhead cost budget of Coen Company. During the year, 5,600 units were produced, 18,340 hours were worked, and the actual manufacturing overhead was $75,600. Actual fixed manufacturing overhead costs equaled budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours. Coen's volume overhead variance is
A) $840 U.
B) $3,080 U.
C) $3,920 U.
D) $11,200 U.

Question

The following information was taken from the annual manufacturing overhead cost budget of Coen Company.  During the year, 5,600 units were produced, 18,340 hours were worked, and the actual manufacturing overhead was $75,600. Actual fixed manufacturing overhead costs equaled budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours. Coen's volume overhead variance is
A) $840 U. 
B) $3,080 U. 
C) $3,920 U. 
D) $11,200 U.

Quizplus · Accepted Answer

The Answer of The following information was taken from the annual manufacturing overhead cost budget of Coen Company.  During the year, 5,600 units were produced, 18,340 hours were worked, and the actual manufacturing overhead was $75,600. Actual fixed manufacturing overhead costs equaled budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours. Coen's volume overhead variance is
A) $840 U. 
B) $3,080 U. 
C) $3,920 U. 
D) $11,200 U.

The Following Information Was Taken from the Annual Manufacturing Overhead