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Security Doors Has a Standard Variable Overhead Rate of $4

Question 55

Multiple Choice

Security Doors has a standard variable overhead rate of $4 per direct labour hour.The standard quantity of direct labour per unit of production is 3 hours.The company's static budget was based on 50 000 units.Actual results for the year are as follows.What was Security Door's variable overhead spending variance?
Security Doors has a standard variable overhead rate of $4 per direct labour hour.The standard quantity of direct labour per unit of production is 3 hours.The company's static budget was based on 50 000 units.Actual results for the year are as follows.What was Security Door's variable overhead spending variance? A) $45 000 favourable B) $60 000 favourable C) $15 000 unfavourable D) $45 000 unfavourable


A) $45 000 favourable
B) $60 000 favourable
C) $15 000 unfavourable
D) $45 000 unfavourable

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