Reference no: EM133060794
Question 1 - Spiral Company's budgeted fixed factory overhead cost is P50,000 per month plus a variable factory overhead rate of P4 per direct labor hour. The direct labor hours for March production was 13,000. An analysis of the factory overhead indicates that in March, Spiral had an unfavorable spending variance of P1,000 and an unfavorable volume variance of P500. What is the actual factory overhead measured in March?
1. P 122,000 2. P 122,300 3. P 123,000 4. P 121,500
Question 2 - Spiral Company's budgeted fixed factory overhead cost is P50,000 per month plus a variable factory overhead rate of P4 per direct labor hour. The direct labor hours for March production was 18,000. An analysis of the factory overhead indicates that in March, Spiral had an unfavorable spending variance of P1 ,000 and an unfavorable volume variance of P500. What is the applied factory overhead measured in March?
1. P 122,500 2. P 123,000 3. P 122,000 4. P121,500