Feagin  Company’s  actual  variable  overhead  was  $73,000.  Actual  direct labor hours  were  25,000  to  make 20,000  finished  products.  The  per-unit standard  for  direct labor hour is 1.5 hours, and the pre-determined variable overhead rate is $3 per direct labor hour. What  were (1) the  variable overhead  spending variance  (2) the variable  overhead efficiency variance?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Feagin  Company’s  actual  variable  overhead  was  $73,000.  Actual  direct labor hours  were  25,000  to  make 20,000  finished  products.  The  per-unit standard  for  direct labor hour is 1.5 hours, and the pre-determined variable overhead rate is $3 per direct labor hour. What  were

(1) the  variable overhead  spending variance 

(2) the variable  overhead efficiency variance?

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