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The Maxit Corporation has a standard costing system in which variable manufacturing overhead is assigned to production on the basis of standard machine-hours. The following data are available for July: Actual variable manufacturing overhead cost incurred: $24,380 Actual machine-hours worked: 2,400 hours Variable overhead rate variance: $4,620 U Total variable overhead spending variance: $6,380 U The variable overhead efficiency variance for July is:\

Respuesta :

Answer:

$1,760 U

Explanation:

The computation of the  variable overhead efficiency variance for July is shown below;

As we know that

Variable overhead efficiency variance = Total variable overhead spending variance - Variable overhead rate variance

 = $6,380 U - $4,620 U

= $1,760 U

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