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3 years ago

Tatham Corporation produces a single product. The standard costs for one unit of its Clan product are as follows:

Business

1 answer:

Alla [95]3 years ago

3 0

Answer:

$3,500 Unfavorable

Explanation:

The computation of variable overhead efficiency variance for Clan for November Year 2 is shown below:-

Variable overhead efficiency variance

= (Standard labor hours - actual labor hours) × (Standard variable overhead rate)

= (3,500 × 2 - 7,500) × $7

= (7,000 - 7,500) × $7

= $3,500 Unfavorable

Therefore for computing the Variable overhead efficiency variance we simply applied the above formula.

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3 years ago

Tatham Corporation produces a single product. The standard costs for one unit of its Clan product are as​ follows:

Tatham Corporation produces a single product. The standard costs for one unit of its Clan product are as follows: