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Kramer Company budgeted that it would operate at 80% capacity for the month producing 800 units of its product, AA. Each

Posted: Fri Jul 01, 2022 8:26 am
by answerhappygod
Kramer Company budgeted that it would operate at 80% capacityfor the month producing 800 units of its product, AA. Each unitrequires 2 direct labor hours. At the end of the month it realizedthat they produced 700 units and operated at 70% capacity. If thebudgeted fixed overhead was $3,000, the standard fixed overhead was$2.00 per direct labor hour, what is the volume variance?
multiple choice
$100 Favorable
$100 Unfavorable
$200 Favorable
$200 Unfavorable