Prepare truck divisions fixed overhead variances

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Reference no: EM13538849

Information about the use of fixed overhead at EZ Toys' Trucks Division follows:

Annual budget data

Fixed overhead

= $115,200

Direct labor hours

= 57,600

Standard fixed overhead rate

= $2 per hour

Standard costs


0.4 hour per truck @ $2 per hour

= $0.8 per truck

Trucks produced in October

= 10,000

Actual variable overhead cost

= $9,000

Required:

Prepare Truck Division's fixed overhead variances for October.

Reference no: EM13538849

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