Acme Company uses a standard cost accounting system and applies variable manufacturing overhead at a standard rate of $4.80 per machine hour. During the current month, Acme produces 13,600 units of finished goods, the variable overhead spending variance is $16,200 unfavorable, and the variable overhead rate variance is $6,120 unfavorable. The standard machine hours per unit of finished goods is 2.5 hours. What is the actual number of machine hours worked during the month?

Acme Company uses a standard cost accounting system and applies variable manufacturing overhead at a standard rate of $4.80 per machine hour. During the current month, Acme produces 13,600 units of finished goods, the variable overhead spending variance is $16,200 unfavorable, and the variable overhead rate variance is $6,120 unfavorable. The standard machine hours per unit of finished goods is 2.5 hours. What is the actual number of machine hours worked during the month?

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Description: Acme Company uses a standard cost accounting system and appliesvariable manufacturing overhead at a standard rate of $4.80 permachine hour. During the current month, Acme produces 13,600 unitsof finished goods, the variable overhead spending varianc

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter9: Standard Costing: A Functional-based Control Approach

Section: Chapter Questions

Problem 31P: Misterio Company uses a standard costing system. During the past quarter, the following variances...

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