Factory Overhead Controllable | Volume Variance Factory Overhead Controllable VarianceBellingham Company produced 2,100 units of product that required 3.5 standard direct labor hours per unit. The standardvariable overhead cost per unit is $5.30 per direct labor hour. The actual variable factory overhead was $38,175. Determine thevariable factory overhead controllable variance. Enter a favorable variance as a negative number using a minus sign and anunfavorable variance as a positive number.780 x Favorable vFactory Overhead Volume VarianceBellingham Company produced 1,500 units of product that required 4 standard direct labor hours per unit. The standard fixedoverhead cost per unit is $2.45 per direct labor hour at 6,600 hours, which is 100% of normal capacity. Determine the fixedfactory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorablevariance as a positive number.-1,372 X Unfavorable v

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Description: Factory Overhead Controllable | Volume Variance Factory Overhead Controllable VarianceBellingham Company produced 2,100 units of product that required 3.5 standard direct labor hours per unit. The standardvariable overhead cost per unit is $5.30 per

Overhead Variance:-Overhead variance occurs when there is a difference between the standard…

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Factory Overhead Controllable Variance Bellingham Company produced 2,100 units of product that required 3.5 standard direct labor hours per unit. The standard variable overhead cost per unit is $5.30 per direct labor hour. The actual variable factory overhead was $38,175. Determine the variable factory overhead controllable variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. X Favorable v 780 Factory Overhead Volume Variance Bellingham Company produced 1,500 units of product that required 4 standard direct labor hours per unit. The standard fixed overhead cost per unit is $2.45 per direct labor hour at 6,600 hours, which is 100% of normal capacity. Determine the fixed factory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. -1,372 X Unfavorable v

Factory Overhead Controllable Variance Bellingham Company produced 2,100 units of product that required 3.5 standard direct labor hours per unit. The standard variable overhead cost per unit is $5.30 per direct labor hour. The actual variable factory overhead was $38,175. Determine the variable factory overhead controllable variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. X Favorable v 780 Factory Overhead Volume Variance Bellingham Company produced 1,500 units of product that required 4 standard direct labor hours per unit. The standard fixed overhead cost per unit is $2.45 per direct labor hour at 6,600 hours, which is 100% of normal capacity. Determine the fixed factory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. -1,372 X Unfavorable v

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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.

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Factory Overhead Controllable | Volume Variance

Factory Overhead Controllable Variance
Bellingham Company produced 2,100 units of product that required 3.5 standard direct labor hours per unit. The standard
variable overhead cost per unit is $5.30 per direct labor hour. The actual variable factory overhead was $38,175. Determine the
variable factory overhead controllable variance. Enter a favorable variance as a negative number using a minus sign and an
unfavorable variance as a positive number.
780 x Favorable v
Factory Overhead Volume Variance
Bellingham Company produced 1,500 units of product that required 4 standard direct labor hours per unit. The standard fixed
overhead cost per unit is $2.45 per direct labor hour at 6,600 hours, which is 100% of normal capacity. Determine the fixed
factory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable
variance as a positive number.
-1,372 X Unfavorable v

Definition Definition Indirect costs incurred while producing goods or services. Overhead costs cannot be directly attributed to products or services. Overhead includes indirect material cost, indirect labor cost, rent, utilities expenses, and depreciation. Since these costs directly affect the profitability of a company, managing overhead becomes an important task for management.

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Material, Labor, and Variable Overhead Variances The following summarized manufacturing data relate to Steffan Corporation's April operations, during which 2,000 finished units of product were produced. Normal monthly capacity is 1,100 direct labor hours. Direct material Standard (2 lb. @ $9.50/lb.) Actual (4,200 lb. @ $10.20/lb.) Direct labor Standard (0.5 hr. @ $24/hr.) Actual (970 hrs. @ $23.40/hr.) Variable overhead Standard (0.5 hr. @ $6/hr.) Actual Total Actual cost: Split cost: Standard Units Costs $ $ $19 $12 $3 $34 Total Actual Costs $42,840 22,698 Assume that the 4,200 lb. of materials purchased were all used in producing the 2,000 completed units. Determine the materials price and efficiency variances, labor rate and efficiency variances, and variable overhead spending and efficiency variances. Materials Variances 6,200 $71,738
Which of the following statements Is true? Multiple Choice The material quantity variance is recorded when overhead is applied to production. The material price and the material quantity variances are recorded at the same time., The materials quantity variance is recorded when materials are used in production. The materials quantity variance is recorded when materials are purchased.
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a. Direct materials price variance Unfavorable b. Direct materials quantity variance Favorable c. Direct materials cost variance Unfavorable
а. Standard Cost per Unit for Direct Materials and Direct Labor b. Direct Materials Price Variance Wrong Direct Materials Quantity Variance Wrong Total Direct Materials Cost Variance Wrong с. Direct Labor Rate Variance Wrong Direct Labor (Time) Efficiency Variance Wrong Total Direct Labor Cost Variance Wrong
Subject: acounting
Which of the following is the difference between the actual cost of materials and thematerials cost allowed for the actual level of activity? a. Total materials variance b. Total materials regression c. Total materials cost d. Total materials margin e. None of these
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The following direct materials and direct labor data pertain to the operations of Sunland Company for the month of August. Costs Actual labor rate Actual materials price Standard labor rate Standard materials price $13 $290 $12.50 per hour per ton per hour $292 per ton Quantities. Actual hours incurred and used Actual quantity of materials purchased and used Standard hours used Standard quantity of materials used. 4,200 hours 1,000 tons 4,290 hours 990 tons
< Mastery Problem: Manufacturing Cost Variance (Actual Costs Compared to Standard Costs) Manufacturing cost variances may come from material costs that are higher or lower than expected, material usage that is not what was expected, higher or lower labor costs than expected, or more or less time spent to produce an item than expected. Overhead cost and volume variances are another cause for costs to be higher or lower than what was expected. The total manufacturing variance can be broken down by cost type (materials, labor, overhead) and further by cost variances within cost types and usage or efficiency variances within cost types: Total Manufacturing Cost Variance 7 ↑ Feedback Direct Materials Cost Variance Direct Labor Cost Variance Factory Overhead Cost Variance 7 Direct Materials Price Variance Direct Materials Quantity Variance Direct Labor Rate Variance Direct Labor Time Variance Variable Factory Overhead Controllable Variance Fixed Factory Overhead Volume Variance Manufacturing…
the difference between the actual price and the standard price, multiplied by the actual quantity of materials purchased is the