Cerrone Inc. has provided the following data for the month of July. The balance in the Finished Goods inventory account at the beginning of the month was $69,000 and at the end of the month was $63,000. The cost of goods manufactured for the month was $316,400. The actual manufacturing overhead cost incurred was $103,600 and the manufacturing overhead cost applied to jobs was $98,000. The adjusted cost of goods sold that would appear on the income statement for July is: a. $328,000
b. $316,400
c. $310,800
d. $322,000

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Oerstman, inc. uses a standard costing system and develops its overhead rates from the current annual budget.the budget is based on an expected annual output of 120,000 units requiring 480,000 direct labor hours.(practical capacity is 500,000 hours)annual budgeted overhead costs total $772,800, of which $556,800 is fixed overhead.a total of 119,300 units, using 478,000 direct labor hours, were produced during the year.actual variable overhead costs for the year were $260,400 and actual fixed overhead costs were $555,450.required: 1. compute the fixed overhead spending variance and indicate if favorable or unfavorable.2. compute the fixed overhead volume variance and indicate if favorable or unfavorable.