Complete the overhead rate split

Exercise and reference answers

Missing parts

1. Answer

   $12

   Choices

   1. $12
   2. $7
   3. $17

2. Answer

   $7

   Choices

   1. $5
   2. $7
   3. $12

3. Answer

   budgeted variable overhead

   Choices

   1. budgeted fixed overhead
   2. actual fixed overhead
   3. budgeted variable overhead

Complete the statement

Budgeted overhead of $120,000 over 10,000 hours gives a total rate of {0} per direct labour hour, made up of a $5 variable rate and a {1} fixed rate. The controllable variance compares actual variable overhead with {2}.

Instructions

Tap a chip for each blank so the rate and the variance read correctly.

Explanation