Homework Help is Here – Start Your Trial Now!
Business
Accounting
Dixon & Company manufactures Part A and uses standard costs to prepare its flexible budget. For the first quarter of the year, direct material and direct labor standards for Part A were as follows: Direct materials: 5 pounds per unit; $4 per pound Direct labor: 3 hours per unit; $18 per hour During the first quarter, Dixon produced 4,000 units of this product. Actual direct materials and direct labor costs were $61,000 and $260,000 respectively. For the purpose of preparing the flexible budget, calculate the total standard direct materials cost at a production volume of 4,000 units. A. $20,000 ○ B. $288,000 C. $80,000 D. $16,000

Dixon & Company manufactures Part A and uses standard costs to prepare its flexible budget. For the first quarter of the year, direct material and direct labor standards for Part A were as follows: Direct materials: 5 pounds per unit; $4 per pound Direct labor: 3 hours per unit; $18 per hour During the first quarter, Dixon produced 4,000 units of this product. Actual direct materials and direct labor costs were $61,000 and $260,000 respectively. For the purpose of preparing the flexible budget, calculate the total standard direct materials cost at a production volume of 4,000 units. A. $20,000 ○ B. $288,000 C. $80,000 D. $16,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

A7

Dixon & Company manufactures Part A and uses standard costs to prepare its flexible budget. For the first quarter of the year, direct material and direct labor standards for Part A were as follows: Direct materials: 5 pounds per unit; $4 per pound Direct labor: 3 hours per unit; $18 per hour During the first quarter, Dixon produced 4,000 units of this product. Actual direct materials and direct labor costs were $61,000 and $260,000 respectively. For the purpose of preparing the flexible budget, calculate the total standard direct materials cost at a production volume of 4,000 units. A. $20,000 ○ B. $288,000 C. $80,000 D. $16,000
Transcribed Image Text:Dixon & Company manufactures Part A and uses standard costs to prepare its flexible budget. For the first quarter of the year, direct material and direct labor standards for Part A were as follows: Direct materials: 5 pounds per unit; $4 per pound Direct labor: 3 hours per unit; $18 per hour During the first quarter, Dixon produced 4,000 units of this product. Actual direct materials and direct labor costs were $61,000 and $260,000 respectively. For the purpose of preparing the flexible budget, calculate the total standard direct materials cost at a production volume of 4,000 units. A. $20,000 ○ B. $288,000 C. $80,000 D. $16,000
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS