CMA Study Group

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H 
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was 
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

Hi ,
Given Volume variance Unfavorable $6,360/-.
Thus, in terms of Hours it is 6,360/15 = 424 hours.
given, budgeted machine hours 32,000  and hence, The SH allowed for actual production (SH) will be 31,576  [ i.e.32,000-424 hours ]

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

The question has asked for actual hours, not standard hours which is what is confusing me.

Hi ,
Given Volume variance Unfavorable $6,360/-.
Thus, in terms of Hours it is 6,360/15 = 424 hours.
given, budgeted machine hours 32,000  and hence, The SH allowed for actual production (SH) will be 31,576  [ i.e.32,000-424 hours ]

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

The question has asked for actual hours, not standard hours which is what is confusing me.

Hi ,
Given Volume variance Unfavorable $6,360/-.
Thus, in terms of Hours it is 6,360/15 = 424 hours.
given, budgeted machine hours 32,000  and hence, The SH allowed for actual production (SH) will be 31,576  [ i.e.32,000-424 hours ]

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

The question has asked for actual hours, not standard hours which is what is confusing me.

Hi ,
Given Volume variance Unfavorable $6,360/-.
Thus, in terms of Hours it is 6,360/15 = 424 hours.
given, budgeted machine hours 32,000  and hence, The SH allowed for actual production (SH) will be 31,576  [ i.e.32,000-424 hours ]

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

The question has asked for actual hours, not standard hours which is what is confusing me.

Hi ,
Given Volume variance Unfavorable $6,360/-.
Thus, in terms of Hours it is 6,360/15 = 424 hours.
given, budgeted machine hours 32,000  and hence, The SH allowed for actual production (SH) will be 31,576  [ i.e.32,000-424 hours ]

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H 
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was 
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H 
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was 
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H 
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was 
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.

A company ends the month with a volume variance of $6,360 unfavorable. If budgeted fixed O/H
was $480,000, O/H was applied on the basis of 32,000 budgeted machine hours, and budgeted variable O/H was
$170,000, what were the actual number of machine hours (AH) for the month?
A. 32,425
B. 32,318
C. 32,000
D. 31,576
Answer is D.

Anyone please help me understand this question. While I do the calculation according to the formula I'm getting 31,576 as the standard hours. But the answer shows 31576 as the actual hours. Help me please understand the question.