Calculate the variances and identify whether the variance is favorable (F) or unfavorable (U). (b) Total Direct Materials Variance $125 F (c) Total Direct Labor Variance $255 F (e) Total Variable Overhead Variance $175 F (f) Total Fixed Overhead Variance (1) F (d) Total Manufacturing Overhead Variance (2) F (a) Total Flexible Budget Product Cost Variance (3) F
Calculate the variances and identify whether the variance is favorable (F) or unfavorable (U). (b) Total Direct Materials Variance $125 F (c) Total Direct Labor Variance $255 F (e) Total Variable Overhead Variance $175 F (f) Total Fixed Overhead Variance (1) F (d) Total Manufacturing Overhead Variance (2) F (a) Total Flexible Budget Product Cost Variance (3) F
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Variance Analysis
In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.
Standard Costing
The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.
Topic Video
Question
Complete the table below for the missing variances.
1(Click
the icon to view the table.)Calculate the variances and identify whether the variance is favorable (F) or unfavorable (U).
|
(b) Total Direct Materials Variance
|
$125
|
F
|
|
(c) Total Direct Labor Variance
|
$255
|
F
|
|
(e) Total Variable Overhead Variance
|
$175
|
F
|
|
(f) Total Fixed Overhead Variance
|
|
(1) F
|
|
(d) Total Manufacturing Overhead Variance
|
|
(2) F
|
|
(a) Total Flexible Budget Product Cost Variance
|
|
(3) F
|
1: Data Table
|
|
|
|
|
|
Total Flexible Budget Product Cost Variance
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
(a)
|
|
|
|
|
|
|
|||||
|
|
Total Direct
|
|
Total Direct
|
|
Total Manufacturing
|
|||||||||||
|
|
Materials Variance
|
|
Labor Variance
|
|
Overhead Variance
|
|||||||||||
|
(b)
|
(c)
|
(d)
|
||||||||||||||
|
Direct Materials
|
Direct Materials
|
|
Direct Labor
|
Direct Labor
|
|
Total Variable
|
|
|
Total Fixed
|
|||||||
|
Cost Variance
|
Efficiency Variance
|
|
Cost Variance
|
Efficiency Variance
|
|
Overhead Variance
|
Overhead Variance
|
|||||||||
|
$310
|
F
|
$185
|
U
|
$180
|
U
|
$435
|
F
|
|
(e)
|
(f)
|
||||||
|
Variable Overhead
|
Variable Overhead
|
Fixed Overhead
|
||||||||||||||
|
|
|
Cost Variance
|
Efficiency Variance
|
Cost Variance
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
$350
|
U
|
$525
|
F
|
|
$175
|
F
|
(1)
F
U
(2)
F
U
(3)
F
U
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education