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Business, 02.06.2021 23:30 Areyano7236

The predetermined overhead rate for Marigold Corp. is $5, comprised of a variable overhead rate of $3 and a fixed rate of $2. The amount of budgeted overhead costs at normal capacity of $150000 was divided by normal capacity of 30000 direct labor hours, to arrive at the predetermined overhead rate of $5. Actual overhead for June was $7608 variable and $4824 fixed, and standard hours allowed for the product produced in June was 2400 hours. The total overhead variance is: a. $700 F.
b. $1,800 F.
c. $700 U.
d. $1,800 U.

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