Crystal Glassware Company has the following standards and flexible-budget data. Standard variable-overhead rate Standard quantity of direct labor Budgeted fixed overhead Budgeted output Actual results for April are as follows: Actual output Actual variable overhead Actual fixed overhead Actual direct labor $ 7.00 per direct-labor hour. 3 hours per unit of output $132,000 1. Variable-overhead spending variance 2. Variable-overhead efficiency variance 22,000 units 15,000 units $405,000 $126,000 52,000 hours Required: Use the variance formulas to compute the following variances. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).)

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Crystal Glassware Company has the following standards and flexible-budget data.
Standard variable-overhead rate
Standard quantity of direct labor
Budgeted fixed overhead
Budgeted output
Actual results for April are as follows:
Actual output
Actual variable overhead
Actual fixed overhead
Actual direct labor
$ 7.00 per direct-labor hour.
3 hours per unit of output
$132,000
1. Variable-overhead spending variance
2. Variable-overhead efficiency variance
22,000 units
15,000 units
$405,000
$126,000
52,000 hours
Required:
Use the variance formulas to compute the following variances. (Indicate the effect of each variance by selecting "Favorable" or
"Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).)
Transcribed Image Text:Crystal Glassware Company has the following standards and flexible-budget data. Standard variable-overhead rate Standard quantity of direct labor Budgeted fixed overhead Budgeted output Actual results for April are as follows: Actual output Actual variable overhead Actual fixed overhead Actual direct labor $ 7.00 per direct-labor hour. 3 hours per unit of output $132,000 1. Variable-overhead spending variance 2. Variable-overhead efficiency variance 22,000 units 15,000 units $405,000 $126,000 52,000 hours Required: Use the variance formulas to compute the following variances. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).)
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