Moon Manufacturing budgeted fixed overhead costs of $2.75 per unit at an anticipated production level of 1,400 units. In July the company incurredactual fixed overhead costs of $3,900 and actually produced 1,200 units.What is Moon's fixed overhead volume variance in July?OA. $50 favorableOB. $550 unfavorableC. $50 unfavorableOD. $550 favorable

The objective of the question is to calculate the fixed overhead volume variance for Moon…

Answered: Moon Manufacturing budgeted fixed…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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MC Qu. 6-26 Ralston has the following budgeted costs... Ralston has the following budgeted costs at its anticipated production level (expressed in hours): variable overhead, $172,200; fixed overhead, $330,000. If Ralston now revises its anticipated production slightly upward, it would expect: Multiple Choice total fixed overhead of $330,000 and a lower hourly rate for variable overhead. total fixed overhead of $330,000 and the same hourly rate for variable overhead. total fixed overhead of $330,000 and a higher hourly rate for variable overhead. total variable overhead of less than $172,200 and a lower hourly rate for variable overhead. total variable overhead of less than $172,200 and a higher hourly rate for variable overhead.
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View Policies Current Attempt in Progress The predetermined overhead rate for Crane Company is $4, comprised of a variable overhead rate of $2 and a fixed rate of $2. The amount of budgeted overhead costs at normal capacity of $120000 was divided by normal capacity of 30000 direct labor hours, to arrive at the predetermined overhead rate of $4. Actual overhead for June was $8600 variable and $5900 fixed, and 2000 units were produced. The direct labor standard is 2 hours per unit produced. The total overhead variance is $2000 F. $1500 F. $1500 U. $2000 U.
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Total Fixed Overhead Variance Bulger Company provided the following data: Standard fixed overhead rate (SFOR) $8 per direct labor hour Actual fixed overhead costs $985,300 Standard hours allowed per unit 6 hours Actual production 20,000 units Required: 1. Calculate the standard hours allowed for actual production. fill in the blank 1 hours 2. Calculate the applied fixed overhead. $fill in the blank 2 3. Calculate the total fixed overhead variance. Enter the amount as a positive number and select Favorable or Unfavorable. $fill in the blank 3
Anderson Manufacturing incurred variable overhead costs of $14,500 and fixed overhead costs of $12,600. How much actual overhead will be used in the total overhead variance calculation? $27,100 $14,500 $1,900 O $12,600 Save for Later Submit Answer
118
Factory overhead cost variance reportTiger Equipment Inc., a manufacturer of construction equipment, prepared thefollowing factory overhead cost budget for the Welding Department for May of thecurrent year. The company expected to operate the department at 100% of normalcapacity of 8,400 hours.Variable costs:Indirect factory wages $30,240Power and light 20,160Indirect materials 16,800Total variable cost $ 67,200Fixed costs:Supervisory salaries $20,000Depreciation of plant and equipment 36,200Insurance and property taxes 15,200Total fixed cost 71,400Total factory overhead cost $138,600During May, the department operated at 8,860 standard hours. The factory overheadCosts incurred were indirect factory wages, $32,400; power and light, $21,000; indirectmaterials, $18,250; supervisory salaries, $20,000; depreciation of plant andequipment, $36,200; and insurance and property taxes, $15,200.Instructions Prepare a factory overhead cost variance report for May. To be useful for cost control,the…
Problem 3-E. Indirect Cost Variances XULA Products Co. charges factory overhead into production at the rate of PT0 per direct labor hour, based on a standard, production of 15,000 direct labor hours for 15,000 units; 60% of factory overhead costs are variable. Production data for May and June are: June 14,200 hrs. May 12,000 hrs. 12,000 P140,100 Production... 15,000 Units produced.. Actual factory overhead. P149,300 Required: Prepare a factory overhead variance analysis for May and June, using the two-variance method. (Indicate whether each variance is favorable or unfavorable.)
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Lazy Guy Corporation manufactured 4,000 chairs during June. The following variable overhead data relates to June: Budgeted variable overhead cost per unit $18.00 Actual variable manufacturing overhead cost $51,600 $46,600 Flexible - budget amount for variable manufacturing overhead Variable manufacturing overhead efficiency variance $740 unfavorable What is the variable overhead spending variance? A. $5,000 unfavorable B. $5,000 favorable C. $4,260 favorable D. $4,260 unfavorable

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