enent Industries, Inc. (G), developed standard costs for direct material and direct labor. In 2017, GIl estimated the following standard costs for one of their major products, the 30 - gallon heavy - duty plastic container.Budgeted quantityDirect materialsDirect labor0.1 pounds0.8 hoursBudgeted price$30 per pound$14 per hourAred and sold 4000 containers using 550 pounds of direct materials at an average cost per pound of $25 and 3,225 direct manufacturing labor hours at an average wage of $14.40 per bourThe dredt meterial price variance during July isOA S4500 untavorable0B. $20.000 urtavorableOC $2750 favorableOD $2750 untavorableO Time Remaining: 0256.0oNext&6

Name: enent Industries, Inc. (G), developed standard costs for direct mater
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: enent Industries, Inc. (G), developed standard costs for direct material and direct labor. In 2017, GIl estimated the following standard costs for one of their major products, the 30 - gallon heavy - duty plastic container.Budgeted quantityDirect ma

Introduction: The actual quantity utilized refers to the amount of materials used in the actual…

Business

Accounting

hdustries, Inc. (G), developed standard costs for direct material and direct labor. In 2017, GIl estimated the following standard costs for one of their major products, the 30 - gallon heavy - Budgeted price $30 per pound $14 per hour Budgeted quantity 0.1 pounds materials ad labor Fa ndred and sold 4,000 containers using 550 pounds of direct materials at an average cost per pound of $25 and 3,225 direct manufacturing labor hours at an average wage of $14.40 p 0.8 hours The dredt meterial price variance during July is OA S4.500 untavorable 0B $20.000 untavorable OC $2750 favorable OD $2750 untavorable O Time Remaining: 0256.00 Nex

hdustries, Inc. (G), developed standard costs for direct material and direct labor. In 2017, GIl estimated the following standard costs for one of their major products, the 30 - gallon heavy - Budgeted price $30 per pound $14 per hour Budgeted quantity 0.1 pounds materials ad labor Fa ndred and sold 4,000 containers using 550 pounds of direct materials at an average cost per pound of $25 and 3,225 direct manufacturing labor hours at an average wage of $14.40 p 0.8 hours The dredt meterial price variance during July is OA S4.500 untavorable 0B $20.000 untavorable OC $2750 favorable OD $2750 untavorable O Time Remaining: 0256.00 Nex

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

National Pottery makes handmade clay pots. The company anticipates $3,187,219 of manufacturing overhead in the coming year. Because it is a labor-intensive organization, National Pottery bases overhead allocation on direct labor cost. The direct labor quantity standard is 2.7 hours per pot, and the standard direct labor rate is $22.50 per hour. The anticipated direct labor cost for the year is $3,375,000. Variable overhead is expected to be $2,162,350. What is the standard fixed overhead cost per pot? Round your answer to the nearest cent. O $23.11 O $6.83 O $38.92 O $18.45
Whispering Winds Company has developed the following standard costs for its product for 2022: WHISPERING WINDSCOMPANY Standard Cost Card Product A Cost Component Standard Quantity Standard Price Standard Cost Direct materials 4 pounds $3 $12 Direct labor 3 hours 8. 24 Manufacturing overhead 3 hours 4 12 $48 The company expected to produce 31,700 units of Product A in 2022 using 95,900 direct labor hours. Actual results for 2022 are as follows: 33,000 units of Product A were produced. Actual direct labor costs were $794,580 for 96,900 direct labor hours worked. Actual direct materials purchased and used during the year cost $369,875 for 134,500 pounds. Actual variable overhead incurred was $165,000 and actual fixed overhead incurred was $220,000. Compute the following variances showing all computations to support your answers. Indicate whether the variances are unfavorable. Compute the following variances showing all computations to support your answers. Indicate whether the variances…
Wyckam Manufacturing Incorporated has provided the following estimates concerning its manufacturing costs: Direct materials Direct labor Supplies Utilities Depreciation Insurance Fixed Cost per Month $ 42,100 $ 1,200 $ 14,600 $ 11,400 For example, utilities should be $1,200 per month plus $0.25 per machine-hour. The company expects to work 4,000 machine- hours in June. Note that the company's direct labor is a fixed cost. Direct materials Direct labor Cost per Machine- Hour $ 5.50 Required: Prepare the company's planning budget for June. Wyckam Manufacturing Incorporated Planning Budget for Manufacturing Costs For the Month Ended June 30 Supplies Utilities Depreciation Insurance Total manufacturing cost $ 0.30 $ 0.25
Hutto Corp. has set the following standard direct materials and direct labor costs per unit for the product It manufactures. Direct materials (15 lbs. @ $4 per lb.) Direct labor (2 hrs. @ $15 per hr.) During May the company incurred the following actual costs to produce 8,100 units. Direct materials (125,300 lbs. @ $3.80 per lb.) Direct labor (20,400 hrs. @ $15.10 per hr.). AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate AQ - Actual Quantity SQ - Standard Quantity = AP = Actual Price SP = Standard Price (1) Compute the direct materials price and quantity variances. (Indicate the effect of each varlance by selecting for favorable, unfavorable, and no varlance.) (2) Compute the direct labor rate variance and the direct labor efficiency variance. (Indicate the effect of each varlance by selecting for favorable, unfavorable, and no varlance. Round "Rate per hour" answers to 2 decimal places.) Complete this question by entering your answers in the tabs below. 0 $60…
Can you show me how this is done? Porter Manufacturing Company uses a standard cost accounting system. In 2011, the company produced 28,000 units. Each unit took several pounds of direct materials and 2 standard hours of direct labor at a standard hourly rate of $12.00. Normal capacity was 50,000 direct labor hours. During the year, 53,965 pounds of raw materials were purchased at $1.3 per pound. All materials purchased were used during the year. If the materials price variance was $4,649 favorable, what was the standard materials price per pound? Selected Answer: 8,643 Correct Answer: 1.39 ± 0.01
Julia Company produces a single product. The company has set the following standards for materials and labor: Standard quantity or hours per unit Standard price or rate Direct materials ? pounds per unit $ ? per pound Direct labor 3.0 hours per unit $ 10 per hour During the past month, the company purchased 7,000 pounds of direct materials at a cost of $17,500. All of this material was used in the production of 1,300 units of product. Direct labor cost totaled $36,750 for the month. The following variances have been computed: Materials quantity variance $ 1,375 U Total materials variance $ 375 F Labor efficiency variance $ 4,000 F Required:1. For direct materials:a. Compute the standard price per pound of materials.b. Compute the standard quantity allowed for materials for the month's production.c. Compute the standard quantity of materials…
K Company estimates that overhead costs for the next year will be $5,125,000 for indirect labor and $1,050,000 for factory utilities. The company uses direct labor hours as its overhead allocation base. If 130,000 direct labor hours are planned for this next year, what is the company's plantwide overhead rate? $0.25 per direct labor hour. O $47.50 per direct labor hour. O $39.42 per direct labor hour. O $8.08 per direct labor hour. O $0.12 per direct labor hour.
Scotch Brand Products produces packaging tape and has determined the following to be its standard cost of producing one case of budget packaging tape: Material (3.50 ounces at $1.30 per ounce) $4.55 Labor (0.30 hour at $12.00 per hour) 3.60 Overhead 2.40 Total $10.55 At the start of 2021, Scotch Brand planned to produce 80,000 cases of tape during the year. Overhead is allocated based on the number of cases of tape produced. Annual fixed overhead is budgeted at $64,000 and the variable overhead costs are budgeted at $1.60 per case. The following information summarizes the results for 2021: Actual production, 81,000 cases Purchased 275,000 ounces of material at a total cost of $343,750 Used 266,250 ounces of material in production Employees worked 22,000 hours, total labor cost $275,000 Actual overhead incurred,…
Cane Company manufactures two products called Alpha and Beta that sell for $155 and $115, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 110,000 units of each product. Its average cost per unit for each product at this level of activity are given below: Alpha Beta Direct materials $ 24 $ 12 Direct labor 23 26 Variable manufacturing overhead 22 12 Traceable fixed manufacturing overhead 23 25 Variable selling expenses 19 15 Common fixed expenses 22 17 Total cost per unit $ 133 $ 107 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. Required: 1. What is the total amount of traceable fixed manufacturing overhead for each of the two products? what is the alpha and beta
Intercontinental, inc., provides you with the following data for its single product Sales price per unit $ 50.00 Fixed costs (per month) Selling, general, and administrative (SG&A) 1,350,000 Manufacturing overhead 2,700,000 Variable costs (per unit) Direct labor 7.00 Direct materials 12.00 Manufacturing overhead 10.00 SG&A…
Muspest Supplies is currently evaluating the cost of manufacturing some of the components utilised in their products. Currently the company expects to need 6 000 parts each month. A supplier of the part has been identified and the total cost of purchasing the parts on a monthly basis would be $97 000. In analysing the part costs, the direct labour and materials cost would be $64 000 and the variable overheads would be $22 000.Based only on the relevant cost per unit, which would be the preferred option of Muspest Supplies?HD EDUCATIONA. Unit costs to produce the part would be $14.33 with the unit cost to purchase of $ 16.17. In this case, the best option would be to commence purchasing the part.B. Unit costs to produce the part would be $10.67 with the unit cost to purchase of $ 16.17. In this case, the best option would be to continue to make the part.C. None of the other answers D. Unit costs to produce the part would be $14.33 with the unit cost to purchase of $ 16.17. In this case,…
Cane Company manufactures two products called Alpha and Beta that sell for $155 and $115, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 110,000 units of each product. Its average cost per unit for each product at this level of activity are given below: Alpha Beta Direct materials $ 24 $ 12 Direct labor 23 26 Variable manufacturing overhead 22 12 Traceable fixed manufacturing overhead 23 25 Variable selling expenses 19 15 Common fixed expenses 22 17 Total cost per unit $ 133 $ 107 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. 2. What is the company’s total amount of common fixed expenses? 3. Assume that Cane expects to produce and sell 87,000 Alphas during the current year. One of Cane's sales representatives has found a…