Primara corporation has a standard cost system in which it

Reference no: EM13605853

Primara Corporation has a standard cost system in which it applies overhead to products based on the standard direct labor hours allowed for the actual output of the period. Data concerning the most recent year appear below:

Total budgeted fixed overhead cost for the year $250,000
Actual fixed overhead cost for the year $254,000
Budgeted standard direct labor hrs 25,000
Actual direct labor hrs 27,000
Standard direct labor hrs allowed for the actual output 26,000

1. Compute the fixed portion of the predetermined overhead rate for the year.
2.Compute the fixed overhead budget variance and volume variance.

Reference no: EM13605853

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