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Factory Overhead Cost Variances
The following data relate to factory overhead cost for the production of 3,000 computers:
Actual:
Variable factory overhead
$117,100
Fixed factory overhead
28,750
Standard:
3,000 hrs. at $46
138,000
If productive capacity of 100% was 5,000 hours and the factory overhead cost budgeted at the level of 3,000 standard hours was $149,500, determine the variable factory overhead Controllable Variance, fixed factory overhead volume variance, and total factory overhead cost variance. The fixed factory overhead rate was $5.75 per hour. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
Variance
Amount
Controllable variance
$________
Volume variance
Total factory overhead cost variance:
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