Levelor Company's flexible budget shows $10,800 of overhead at 75% of capacity, which was the...
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Accounting
Levelor Company's flexible budget shows $10,800 of overhead at 75% of capacity, which was the operating level achieved during May. However, the company applied overhead to production during May at a rate of $2.00 per direct labor hour based on a budgeted operating level of 6,210 direct labor hours (90% of capacity). If overhead actually incurred was $11,282 during May, the controllable variance for the month was: Multiple Choice
$482 favorable.
$482 unfavorable.
$1,620 unfavorable.
$1,620 favorable.
$1,138 favorable.
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