At the beginning of the year,Hilliard Company estimated that its total overhead cost would be $250,000 and its production volume would be 80,000 units.Total actual overhead cost for the year was $246,000.The actual number of units produced during the year was 78,000.
Required:
1)What amount of overhead was applied to the products Hilliard completed during the year?
2)Calculate the volume variance for the year.Indicate whether it is favorable or unfavorable.Do not round intermediate calculations.
3)Calculate the spending variance for the year.

Question

Quizplus · Accepted Answer

The Answer of At the beginning of the year,Hilliard Company estimated that its total overhead cost would be $250,000 and its production volume would be 80,000 units.Total actual overhead cost for the year was $246,000.The actual number of units produced during the year was 78,000.
Required:
1)What amount of overhead was applied to the products Hilliard completed during the year?
2)Calculate the volume variance for the year.Indicate whether it is favorable or unfavorable.Do not round intermediate calculations.
3)Calculate the spending variance for the year.

At the Beginning of the Year,Hilliard Company Estimated That Its