QUESTION 2 Black and White Berhad operates a standard costing system and analysis of variances is made every month. The monthly budgeted unit is 1,600 units and the standard production cost for a unit of product is as follows: 11.50kg Direct Material Direct Labour Variable Overhead RM 4.00 per kg RM 5.00 per hour 4 hours 4 hours RM 2.00 per hour RM6.50 per hour Fixed Overhead 4 hours Currently the standard selling price of H200 is RM120 per unit. However, in the last meeting it was discussed that the price needs to be revised. The following actual data was recorded for the last monthly accounting period. Units produced and sold 1,670 Revenue RM233,800 Materials purchased 24,000 kg. costing RM 92,400 Materials used 19,850kg Direct Labour 6,590 hours, costs RM 34,268 Actual variable overheads RM 12,920 Actual fixed overheads RM 44,580 Required: Calculate ALL variances and prepare and operating statement for the month ending 31 January 2022.

QUESTION 2 Black and White Berhad operates a standard costing system and analysis of variances is made every month. The monthly budgeted unit is 1,600 units and the standard production cost for a unit of product is as follows: 11.50kg Direct Material Direct Labour Variable Overhead RM 4.00 per kg RM 5.00 per hour 4 hours 4 hours RM 2.00 per hour RM6.50 per hour Fixed Overhead 4 hours Currently the standard selling price of H200 is RM120 per unit. However, in the last meeting it was discussed that the price needs to be revised. The following actual data was recorded for the last monthly accounting period. Units produced and sold 1,670 Revenue RM233,800 Materials purchased 24,000 kg. costing RM 92,400 Materials used 19,850kg Direct Labour 6,590 hours, costs RM 34,268 Actual variable overheads RM 12,920 Actual fixed overheads RM 44,580 Required: Calculate ALL variances and prepare and operating statement for the month ending 31 January 2022.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter8: Standard Costs And Variances

Section: Chapter Questions

Problem 11EB: Fitzgerald Company manufactures sewing machines, and they produced 2,500 this past month. The...

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