Majestic Corporation manufactures wheel barrows and uses budgeted machine hours to allocate variable manufacturing overhead.The following information relates to the company's manufacturing overhead data:

$\begin{array}{ll}
\text { Actual output units produced } & 45,500 \text { units } \
\text { Actual machine-hours used } & 14,500 \text { hours } \
\text { Actual variable manufacturing overhead costs } & \$ 435,709
\end{array}$
What is the flexible-budget variance for variable manufacturing overhead?

Question

Majestic Corporation manufactures wheel barrows and uses budgeted machine hours to allocate variable manufacturing overhead.The following information relates to the company's manufacturing overhead data:

$\begin{array}{ll}
\text { Actual output units produced } & 45,500 \text { units } \
\text { Actual machine-hours used } & 14,500 \text { hours } \
\text { Actual variable manufacturing overhead costs } & \$ 435,709
\end{array}$
What is the flexible-budget variance for variable manufacturing overhead?

Quizplus · Accepted Answer

The Answer of Majestic Corporation manufactures wheel barrows and uses budgeted machine hours to allocate variable manufacturing overhead.The following information relates to the company's manufacturing overhead data:

$\begin{array}{ll}
\text { Actual output units produced } & 45,500 \text { units } \
\text { Actual machine-hours used } & 14,500 \text { hours } \
\text { Actual variable manufacturing overhead costs } & \$ 435,709
\end{array}$
What is the flexible-budget variance for variable manufacturing overhead?

Majestic Corporation Manufactures Wheel Barrows and Uses Budgeted Machine Hours