The production V.P. has asked Mr. Alul to account for his overhead variances for the month. Required: Explain the meaning of the two variable overhead variances and Mr. Alul's responsibility for them.
Alexky Company uses labor hours to allocate its variable overhead costs. Mr. Alul, the production manager has been told that his direct labor and variable overhead variances for the past month were as follows:

Question

Quizplus · Accepted Answer

The Answer of The production V.P. has asked Mr. Alul to account for his overhead variances for the month. Required: Explain the meaning of the two variable overhead variances and Mr. Alul's responsibility for them.
Alexky Company uses labor hours to allocate its variable overhead costs. Mr. Alul, the production manager has been told that his direct labor and variable overhead variances for the past month were as follows:

The Production V