Question

Required information Use the following information for the Quick Study below. [The following information applies to the questions displayed below.] AirPro Corp. reports the following for November. $29,025 $ 2.19 per unit produced Actual total factory overhead incurred Standard factory overhead: Variable overhead Fixed overhead ($12, 460/12, 400 predicted units to be produced) Predicted units to produce Actual units produced $ 1.00 per unit 12,480 units 10,100 units QS 8-14 Controllable overhead variance LO P3 Compute the controllable overhead variance for November (Round "Variable amount per unit" to 2 decimal places.) --Flexible Budget at -Flexible Budget Variable Cost Total Fixed Amount per Unit 12,400 units 10,100 units Total flexible budget Controllable Overhead Variance Controllable overhead variance

Answer 1

		Flexible budget		Flexible budget
		Variable	total
		amount	fixed		12,400	10,100
		per unit	cost		units	units
Variable cost		2.1			26040	21210
Fixed costs			12,400		12,400	12,400
total flexible budget					38440	33610
	Controllable overhead variance
Total actual overhead cost			29,025
Total flexible budget amount			33610
Controllable overhead variance			4,585	Favourable
total Budgeted fixed overhead			38,440
total fixed overhead applied			31310
volume variance			7,130	unfavourable