Respuesta :
The variable overhead efficiency variance will be unfavorable if the labor efficiency variance is unfavorable and direct labor hours are used to apply manufacturing overhead.
If actual exertions hours are much less than the budgeted or popular amount, the variable overhead efficiency variance is favorable; if actual labor hours are more than the budgeted or preferred quantity, the variance is unfavorable.
Additionally, in cases wherein the variable overhead rate is based totally on exertions hours, the variable overhead efficiency variance does no longer provide any additional data than supplied by means of the labor performance variance.
Variable overhead is the manufacturing fees that change kind of in terms of modifications in production output. The idea is used to version the future expenditure tiers of a business, in addition to deciding the lowest viable charge at which a product should be sold.
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