Flint Bicycle Company manufacturers mass market bicycles that they sell to major chain retailers. Standard per bicycle Direct materials:2 tires/bicycle @ $1.25/tire Direct labor.5 hour of input at $30 per hour Actual performance for February 2020 Actual number of bicycles manufactured 800 Material purchased and used 1,620 tires at $1.20 per tire. Some were damaged during installation, and had to be thrown out. Direct labor58,000 hours @ 31.10 per hour For each variance, be sure to indicate favorable (F), or unfavorable (U). The Material price variance is $____________________ The Material efficiency variance is $________________
Flint Bicycle Company manufacturers mass market bicycles that they sell to major chain retailers. Standard per bicycle Direct materials:2 tires/bicycle @ $1.25/tire Direct labor.5 hour of input at $30 per hour Actual performance for February 2020 Actual number of bicycles manufactured 800 Material purchased and used 1,620 tires at $1.20 per tire. Some were damaged during installation, and had to be thrown out. Direct labor58,000 hours @ 31.10 per hour For each variance, be sure to indicate favorable (F), or unfavorable (U). The Material price variance is $____________________ The Material efficiency variance is $________________
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Flint Bicycle Company manufacturers mass market bicycles that they sell to major chain retailers.
Standard per bicycle
Direct materials:2 tires/bicycle @ $1.25/tire
Direct labor.5 hour of input at $30 per hour
Actual performance for February 2020
Actual number of bicycles manufactured 800
Material purchased and used 1,620 tires at $1.20 per tire. Some were damaged during installation, and had to be thrown out.
Direct labor58,000 hours @ 31.10 per hour
For each variance, be sure to indicate favorable (F), or unfavorable (U).
The Material price variance is $____________________
The Material efficiency variance is $________________
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education