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Zitrik Corporation Manufactured 110,000 Buckets During February What Is the Variable Overhead Spending Variance?
A)$1,050 Favorable
B)$1,000

Question 49

Multiple Choice

Zitrik Corporation manufactured 110,000 buckets during February.The variable overhead cost-allocation base is $5.45 per machine-hour.The following variable overhead data pertain to February:
 Actual  Budgeted  Production 110,000 units 110,000 units  Machine-hours 10,500 hours 10,000 hours  Variable overhead cost per machine-hour $5.55$5.45\begin{array}{lll}&\text { Actual }&\text { Budgeted } \\\text { Production } & 110,000 \text { units } & 110,000 \text { units } \\\text { Machine-hours } & 10,500 \text { hours } & 10,000 \text { hours } \\\text { Variable overhead cost per machine-hour } & \$ 5.55 & \$ 5.45\end{array}
What is the variable overhead spending variance?


A) $1,050 favorable
B) $1,000 unfavorable
C) $1,050 unfavorable
D) $1,000 favorable

Correct Answer:

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