Marketing and administrative cost variances are treated differently from production cost variances. a. The fixed production cost variance is the difference between flexible budget and master budget costs. c. Variable cost variances are output variances. Profit variance analysis shows the causes of differences between budgeted profits and the actual profits earned. b. d. stnd oad pumned The following information is for questions 35 - 38. Planned Actual results Budget data 19,000 units planned 20,000 units produced and sold Direct materials: 62,300 units of input purchased and used @ $29 per input unit Direct materials: 3 units of input allowed per output unit @ $30 per input unit $1,806,700 $90 Direct labor: 51,500 hours used @ $21.50 per hour Direct labor: 2.5 hours of input allowed per output unit @ $20 per hour 50 1,107,250 35. What is the materials price variance? a. $62,300 Unfavorable. 6. $62,300 Favorable c. $69,000 Favorable. d. $77,250 Favorable AP 292930 At 36. What is the materials total cost variance? a. $7,500 Unfavorable. b. $11,250 Unfavorable. c. $7,500 Favorable. d. $6,700 Unfavorable. AQ 2000s 201 AP 37. What is the labor price variance? a $77,250 Unfavorable b. $30,000 Unfavorable. c. $62,300 Favorable. d. $69,000 Unfavorable. A6 51 21.50 AQ 300 0 5150. 107320 fficiency variance?
Marketing and administrative cost variances are treated differently from production cost variances. a. The fixed production cost variance is the difference between flexible budget and master budget costs. c. Variable cost variances are output variances. Profit variance analysis shows the causes of differences between budgeted profits and the actual profits earned. b. d. stnd oad pumned The following information is for questions 35 - 38. Planned Actual results Budget data 19,000 units planned 20,000 units produced and sold Direct materials: 62,300 units of input purchased and used @ $29 per input unit Direct materials: 3 units of input allowed per output unit @ $30 per input unit $1,806,700 $90 Direct labor: 51,500 hours used @ $21.50 per hour Direct labor: 2.5 hours of input allowed per output unit @ $20 per hour 50 1,107,250 35. What is the materials price variance? a. $62,300 Unfavorable. 6. $62,300 Favorable c. $69,000 Favorable. d. $77,250 Favorable AP 292930 At 36. What is the materials total cost variance? a. $7,500 Unfavorable. b. $11,250 Unfavorable. c. $7,500 Favorable. d. $6,700 Unfavorable. AQ 2000s 201 AP 37. What is the labor price variance? a $77,250 Unfavorable b. $30,000 Unfavorable. c. $62,300 Favorable. d. $69,000 Unfavorable. A6 51 21.50 AQ 300 0 5150. 107320 fficiency variance?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Question 36
Transcribed Image Text:Marketing and administrative cost variances are treated differently from production cost
variances.
a.
The fixed production cost variance is the difference between flexible budget and master budget
costs.
c. Variable cost variances are output variances.
Profit variance analysis shows the causes of differences between budgeted profits and the actual
profits earned.
b.
d.
stnd oad pumned
The following information is for questions 35 - 38.
Planned
Actual results
Budget data
19,000 units planned
20,000 units produced and sold
Direct materials: 62,300 units of
input purchased and used @
$29 per input unit
Direct materials: 3 units of input
allowed per output unit @ $30
per input unit
$1,806,700
$90
Direct labor: 51,500 hours used
@ $21.50 per hour
Direct labor: 2.5 hours of input
allowed per output unit @ $20
per hour
50
1,107,250
35. What is the materials price variance?
a. $62,300 Unfavorable.
6. $62,300 Favorable
c. $69,000 Favorable.
d. $77,250 Favorable
Transcribed Image Text:AP
292930
At
36. What is the materials total cost variance?
a. $7,500 Unfavorable.
b. $11,250 Unfavorable.
c. $7,500 Favorable.
d. $6,700 Unfavorable.
AQ
2000s
201
AP
37. What is the labor price variance?
a $77,250 Unfavorable
b. $30,000 Unfavorable.
c. $62,300 Favorable.
d. $69,000 Unfavorable.
A6
51
21.50
AQ 300
0
5150.
107320
fficiency variance?
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