Standard and Actual Costs Assignment

1. The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of production are as follows: Fixed overhead (based on 10,000 hours)

Variable overhead Standard Costs – 3 hours per unit @ $0.80 per hour 3 hours per unit @ $2.00 per hour Actual Costs Total variable cost, $18,000 Total fixed cost, $8,000 The amount of the variable factory overhead controllable variance is 3. C a. $3,000 unfavorable b. $3,000 favorable c. $0 d. $2,000 unfavorable. .