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).
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(b) Total Direct Materials Variance
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$125
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F
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(c) Total Direct Labor Variance
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$255
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F
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(e) Total Variable
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$175
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F
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(f) Total Fixed Overhead Variance
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(1) F
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(d) Total Manufacturing Overhead Variance
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(2) F
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(a) Total Flexible Budget Product Cost Variance
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(3) F
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1: Data Table
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Total Flexible Budget Product Cost Variance
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(a)
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Total Direct
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Total Direct
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Total Manufacturing
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Materials Variance
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Labor Variance
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Overhead Variance
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(b)
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(c)
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(d)
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Direct Materials
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Direct Materials
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Direct Labor
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Direct Labor
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Total Variable
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Total Fixed
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Cost Variance
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Efficiency Variance
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Cost Variance
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Efficiency Variance
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Overhead Variance
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Overhead Variance
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$310
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F
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$185
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U
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$180
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U
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$435
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F
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(e)
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(f)
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Variable Overhead
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Variable Overhead
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Fixed Overhead
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Cost Variance
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Efficiency Variance
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Cost Variance
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$350
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U
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$525
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F
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$175
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F
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(1)
F
U
(2)
F
U
(3)
F
U
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