Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($289,280 + 904,000 units) actual results for the past year: Standard Quantity 0.25 0.25 Standard Price (Rate) square foot hour hour Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Standard Unit Cost $ 0.92 $ 10.40 $ 1.60 per square foot per hour per hour Variable overhead cost Calculate Parker Plastic's variable overhead rate and efficiency variances and its over- or underapplied variable overhead.Fixed overhead cost $ 8.28 2.60 0.40 0.32 1,200,000 11,100,000 $ 9,990,000 302,000 $ 3,110,600 $ 496,000 $ 359,000

Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($289,280 + 904,000 units) actual results for the past year: Standard Quantity 0.25 0.25 Standard Price (Rate) square foot hour hour Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Standard Unit Cost $ 0.92 $ 10.40 $ 1.60 per square foot per hour per hour Variable overhead cost Calculate Parker Plastic's variable overhead rate and efficiency variances and its over- or underapplied variable overhead.Fixed overhead cost $ 8.28 2.60 0.40 0.32 1,200,000 11,100,000 $ 9,990,000 302,000 $ 3,110,600 $ 496,000 $ 359,000

Name: am.111. Direct materials (plastic)9Fixed manufacturing overhead ($289,
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Description: am.111. Direct materials (plastic)9Fixed manufacturing overhead ($289,280 +904,000 units)actual results for the past year:StandardQuantityDirect labor0.25Variable manufacturing overhead (based on 0.25direct labor hours)Standard Price Standard Unit(Ra

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 7EA: A company estimates its manufacturing overhead will be $750,000 for the next year. What is the...

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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

am.111.

Direct materials (plastic)
9
Fixed manufacturing overhead ($289,280 +
904,000 units)
actual results for the past year:
Standard
Quantity
Direct labor
0.25
Variable manufacturing overhead (based on 0.25
direct labor hours)
Standard Price Standard Unit
(Rate)
Cost
square foot
hour
hour
Number of units produced and sold
Number of square feet of plastic used
Cost of plastic purchased and used
$0.92
$ 10.40
$ 1.60
per square
foot
per hour
per hour
Number of labor hours worked
Direct labor cost
Variable overhead cost
Calculate Parker Plastic's variable overhead rate and efficiency variances and its over- or underapplied
variable overhead.Fixed overhead cost
$
8.28
2.60
0.40
0.32
1,200,000
11,100,000
$
9,990,000
302,000
$ 3,110,600
$ 496,000
$ 359,000

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