The following information pertains to Roe Co.’s 2005 manufacturing operations:
|
Standard direct manufacturing labor hours per unit |
2 |
|
Actual direct manufacturing labor hours |
10,500 |
|
Number of units produced |
5,000 |
|
Standard variable overhead per standard direct manufacturing labor hour |
$3 |
|
Actual variable overhead |
$28,000 |
Roe’s 2005 unfavorable variable overhead efficiency variance was
- $0
- $1,500
- $2,000
- $3,500