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Logistics Solutions provides order fulfillment services for dot.com merchants. The company maintains warehouses that stock it
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Answer #1

1) Standard labor hour allowed = 190000*.03 = 5700 Hour

2) Standard variable overhead cost allowed = 5700*3.55 = $20235

3) Variable overhead spending variance = 20235-29050 = 8815 U

4) Variable overhead rate variance = (3.55*8300-29050) = 415 F

variable overhead efficiency variance = (5700-8300)*3.55 = 9230 U

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