What is the variable overhead efficiency variance

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Question - Use the information below to answer the following question(s).

Willis Corporation manufactures industrial-sized gas furnaces and uses budgeted machine-hours to allocate variable manufacturing overhead. The following information pertains to the company's manufacturing overhead data:

Budgeted output 30,000 units

Budgeted machine-hours 10,000 hours

Budgeted variable manufacturing overhead costs for 30,000 units $322,500

Actual output produced 44,000 units

Actual machine-hours used 14,400 hours

Actual variable manufacturing overhead costs $484,000

Required - What is the variable overhead efficiency variance?

Reference no: EM132611297

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