Humble Logistics Inc. maintains warehouses that stock items carried by its e-retailer clients. When one of Humble's clients receives an order from an online customer, the order is forwarded to Humble. Humble then pulls the item from the warehouse, packs it, and ships it to the customer. Humble uses a predetermined variable overhead rate based on direct labor hours. According to the company's records, 0.05 direct labor hours are required to fulfill an order for one item, and the variable overhead rate is $6.20 per direct labor hour. During October, Humble shipped 150,000 orders using 8,000 direct labor hours. The company incurred a total of $49,600 in variable overhead costs. The variable overhead efficiency variance during October was

Humble Logistics Inc. maintains warehouses that stock items carried by its e-retailer clients. When one of Humble's clients receives an order from an online customer, the order is forwarded to Humble. Humble then pulls the item from the warehouse, packs it, and ships it to the customer. Humble uses a predetermined variable overhead rate based on direct labor hours. According to the company's records, 0.05 direct labor hours are required to fulfill an order for one item, and the variable overhead rate is $6.20 per direct labor hour. During October, Humble shipped 150,000 orders using 8,000 direct labor hours. The company incurred a total of $49,600 in variable overhead costs. The variable overhead efficiency variance during October was

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter12: Activity-based Management

Section: Chapter Questions

Problem 8E: Thayne Company has 30 clerks that work in its Accounts Payable Department. A study revealed the...

See similar textbooks

Similar questions

Help ogistics Solutions provides order fulfillment services for dot.com merchants. The company maintains warehouses that stock items arried by its dot.com clients. When a client receives an order from a customer, the order is forwarded to Logistics Solutions, which oulls the item from storage, packs it, and ships it to the customer. The company uses a predetermined variable overhead rate based on direct labor-hours. In the most recent month, 110,000 items were shipped to customers using 3,500 direct labor-hours. The company incurred a total of $9,450 in variable overhead costs. According to the company's standards, 0.03 direct labor-hours are required to fulfill an order for one item and the variable overhead rate is $2.75 per direct labor-hour. Required: 1. What is the standard labor-hours allowed (SH) to ship 110,000 items to customers? 2. What is the standard variable overhead cost allowed (SH × SR) to ship 110,000 items to customers? 3. What is the variable overhead spending…
Please solve this
Vikram
Seved Logistics Solutions provides order fulfillment services for dot.com merchants. The icompany maintains warehouses that stock items carried by its dot.com clients. When a client receives an order from a customer, the order is forwarded to Logistics Solutions, which pulls the item from storage, packs it, and ships it to the customer. The company uses a predetermined variable overhead rate based on direct labor-hours. In the most recent month, 110,000 items were shipped to customers using 3,500 direct labor-hours. The company incurred a total of $9,450 in varlable overhead costs. According to the company's standards, 0.03 direct labor-hours are required to fulfill an order for one item and the variable overhead rate is $2.75 per direct labor-hour. Required: 1. What is the standard labor-hours allowed (SH) to ship 110,000 items to customers? 2. What is the standard variable overhead cost allowed (SH SR) to ship 110,000 items to customers? 3. What is the variable overhead spending…
general account expert solve.
Logistics Solutions provides order fulfillment services for dot.com merchants. The company maintains warehouses that stock items carried by its dot.com clients. When a client receives an order from a customer, the order is forwarded to Logistics Solutions, which pulls the item from storage, packs it, and ships it to the customer. The company uses a predetermined variable overhead rate based on direct labor-hours. In the most recent month, 180,000 items were shipped to customers using 7.700 direct labor-hours. The company incurred a total of $26,180 in variable overhead costs. According to the company's standards, 0.03 direct labor-hours are required to fulfill an order for one item and the variable overhead rate is $3.45 per direct labor-hour. Required: 1. What is the standard labor-hours allowed (SH) to ship 180,000 items to customers? 2. What is the standard variable overhead cost allowed (SHSR) to ship 180,000 items to customers? 3. What is the variable overhead spending variance?…
Logistics Solutions provides order fulfilment services for dot.com merchants. The company maintains warehouses that stock items carried by its dot.com clients. When a client receives an order from a customer, the order is forwarded to Logistics Solutions, which pulls the item from storage, packs it, and ships it to the customer. The company uses a predetermined variable overhead rate based on direct labor-hours. In the most recent month, 160,000 items were shipped to customers using 6,500 direct labor-hours. The company incurred a total of $20,800 in variable overhead costs. According to the company's standards, 0.03 direct labor-hours are required to fulfill an order for one item and the variable overhead rate is $3.25 per direct labor-hour. Requlred: 1. What is the standard labor-hours allowed (SH) to ship 160.000 items to customers? 2 What is the standard variable overhead cost allowed (SH x SR) to ship 160,000 items to customers? 3. What is the variable overhead spending variance?…
Please help me. Thankyou.
I need help with this one please
I need answer of this question solution general accounting
Subject: accounting
None