The following information relating to a company's overhead costs is available. Actual total variable overhead $ 75,000 Actual total fixed overhead $ 14,000 Budgeted variable overhead rate per machine hour $ 2.50 Budgeted total fixed overhead $ 15,000 Budgeted machine hours allowed for actual output 32,000 Based on this information, the total variable overhead variance is:

$5,000 favorable

Explanation:

The computation of the total variable overhead variance is given below:

= Budgeted machine hours allowed for actual output × Budgeted variable overhead rate per machine hour - Actual total variable overhead

= 32,000 hours × $2.50 - $75,000

= $80,000 - $75,000

= $5,000 favorable

Since the favorable is more than the actual so it should be favorable

The engineer Lee is very well trained and has a lot of experience in the planetary field, therefore it is likely that he will decide to launch the project taking into account all the implications foreseen in the project.

Explanation:

JPL spent a lot of time "Identifying, measuring, and applying risk factors against the opportunity value and cost of failure" (VMware 2013). This methodology was a key process in deciding to launch or delay the launch of MBE.

The effects of JPL and NASA's past failures as well as the risk management program Lee implemented should be paramount in making and evaluating such an important decision.

Tests and tests as well as future predictions in error tests should keep the entire team attentive to what could happen and a possible plan B in case of technical failures.