Quality Brand Products uses standard costing to manage their direct costs and their overhead costs.Overhead costs are allocated based on direct labor hours.In the first quarter,Quality Brand had an unfavorable cost variance for its variable overhead costs.Which of the following scenarios would be a reasonable explanation for that variance?

Question

Quizplus · Accepted Answer

An unfavorable cost variance for variable overhead costs would indicate that the actual variable overhead costs were higher than the budgeted costs.

Quality Brand Products Uses Standard Costing to Manage Their Direct