Answer:
Manufacturing overhead rate variance= $5,404 favorable
Explanation:
Giving the following information:
Variable manufacturing overhead 0.5 hours $4.00 per hour
During March, 2,800 direct labor-hours were worked.
Variable manufacturing overhead costs during March totaled $5,800.
To calculate the variable overhead rate variance, we need to use the following formula:
Manufacturing overhead rate variance= (standard rate - actual rate)* actual quantity
Actual rate= 5,800/2,800= $2.07
Manufacturing overhead rate variance= (4 - 2.07)*2,800
Manufacturing overhead rate variance= $5,404 favorable
