Mailings Review View Help Tell me what you want to doAB-TA.GIIMParagraph5StylesPackaging Solutions Corporation manufactures and sells a wide variety of packaging products.Performance reports are prepared monthly for each department. The planning budget and flexiblebudget for the Production Department are based on the following formulas, where q is the number oflabor-hours worked in a month: cost formulasDirect laborAaBbCcDd AaBbCcDd AaBbC AaBbCct AaB AaBbCcD AaBbCcDd Ac1 Normal 1 No Spac... Heading 1 Heading 2 TitleSubtitle Subtle Em... E$16.20qIndirect labor $4,600+ $1.50qUtilities $5,200 + $0.40qSuppliesEquipment depreciationFactory rent $8,400Property taxes $2,800Factory administration $13,300 + $0.60qThe Production Department planned to work 4,000 labor-hours in March; however, it actually worked3,800 labor-hours during the month. Its actual costs incurred in March are listed below:Actual Cost Incurred in MarchDirect labor $ 63,120Indirect labor $9,780Utilities $ 7,190Supplies$ 2,810Equipment depreciationC$1,400 + $0.30qDocument1 - WordEpic$18,800 + $2.60q$ 28,680Factory rent $ 8,800Property taxes $2,800Factory administration $14,930W]2N/REH 4285 2W/PED4375 25/PP4WSW4475 214425 3T4575 4T1147 ST4220 2E/Antepartum4275 Cath/Hol2200 Resp 44152300 House Supervisor2400 Biomed2500 Labor/Delivery4200 SPU2100 Dialysis4492 Security4071 House Keeping4250 MRICat ScanI401740304895 4860 Mailings ReviewView HelpAEE-A T-A== ===-5TLabor-hours 3,800Paragraph1. Prepare the Production Department's planning budget for the month.2. Prepare the Production Department's flexible budget for the month.3. Calculate the spending variances for all expense items.Calculate the spending variances for all expense items. (Indicate the effect of each variance by selecting"F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts aspositive values.)Packaging Solutions CorporationSpending VariancesFor the Month Ended March 31Actual ResultsБTell me what you want to doAaBbCcDd AaBbCcDd AaBbC AaBbCct AaB AaBbCcD AaBbCcD1 Normal 1 No Spac... Heading 1 Heading 2TitleSubtitle Subtle Em...$63,1209,780Direct laborIndirect laborUtilities 7,190Supplies2,810Equipment depreciation 28,680Factory rent 8,800Property taxes 2,800Factory administration 14,930Total expense $138,110EpicSpending Variances.Document1 - WordW2N/REH4W45SW4285 2W/PED4375 25/PP4475 214425 3T4575 4T1147 STFlexible Budget4220 2E/Antepartum4275 Cath/Hol2200 Resp 44152300 House Supervisor2400 Biomed2500 Labor/DeliveryStyles4200 SPU2100 Dialysis4460 Code Blue4492 Security4071 House Keeping4250 MRICat Scan4017403040684895 4860

It is the process of undertaking plans to spend money. This plan enables the business in advance to…

Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: cost formulas

Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: cost formulas

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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Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows: Indirect labor Indirect materials Utilities Activity Level Depreciation Fixed overhead costs per month are Supervision $3,600, Depreciation $1,300, and Property Taxes $800. The company believes it will normally operate in a range of 7,100-11,000 direct labor hours per month. Direct Labor Hours Fixed Costs $1.20 Prepare a monthly manufacturing overhead flexible budget for 2020 for the expected range of activity, using increments of 1,300 direct labor hours. (List variable costs before fixed costs.) Indirect Labor Indirect Materials Property Taxes Supervision 0.70 Total Costs Total Fixed Costs Total Variable Costs Utilities Variable Costs 0.20 LA MYERS COMPANY Monthly Manufacturing Overhead Flexible Budget For the Year 2020 LA tA tA
A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools: Activity Cost Pool Activity 1 3,000 2,800 Activity 2 4,500 5,500 Activity 3 2,500 5,250 Annual production and sales level of Product A is 34,300 units, and the annual production and sales level of Product B is 69,550 units. What is the approximate overhead cost per unit of Product B under activity-based costing? O $10.28 O $3.00 $2.33 $2.00 O $15.00 Budgeted Activity Budgeted Cost $87,000 $62,000 $93,000 Product A Product B
Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows: Indirect labor Indirect materials Utilities $1.30 0.80 0.30 Fixed overhead costs per month are Supervision $4,100, Depreciation $1,100, and Property Taxes $800. The company believes it will normally operate in a range of 7,100-11.300 direct labor hours per month. Prepare a monthly manufacturing overhead flexible budget for 2020 for the expected range of activity, using increments of 1,400 direct labor hours. (List variable costs before fixed costs) MYERS COMPANY Monthly Manufacturing Overhead Flexible Budget For the Year 2020
Swifty Corporation manufactures safes-large mobile safes, and large walk-in stationary bank safes. As part of its annual budgeting process, Swifty is analyzing the profitability of its two products. Part of this analysis involves estimating the amount of overhead to be assigned to each product line. The information shown below relates to overhead. Units planned for production Material moves per product line Purchase orders per product line Direct labor hours per product line (a) (1) (2) (b1) eTextbook and Media (a) Your answer is correct. (b) The total estimated manufacturing overhead was $260,000. Under traditional costing (which assigns overhead on the basis of direct labor hours), what amount of manufacturing overhead costs are assigned to: (Round answers to 2 decimal places, e.g. 12.25.) One mobile safe (b2) One walk-in safe (a) Your answer is correct. eTextbook and Media $ One walk-in safe $ One mobile safe $ H Your answer is incorrect. $ (b) One walk-in safe Mobile Safes Walk-in…
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Crystal Glassware Company has the following standards and flexible-budget data. $ 4.00 per direct-labor hour 2 hours per unit of output Standard variable-overhead rate Standard quantity of direct labor Budgeted fixed overhead Budgeted output Actual results for April are as follows: Actual output Actual variable overhead Actual fixed overhead Actual direct labor $ 112,000 28,000 units 19,000 units $ 217,000 $ 105,000 55,000 hours Required: Prepare journal entries for the following transactions. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. • Record the incurrence of actual variable overhead and actual fixed overhead. Add variable and fixed overhead to Work-in-Process Inventory. Close underapplied or overapplied overhead into Cost of Goods Sold.
Crystal Glassware Company has the following standards and flexible - budget data. Standard variable - overhead rate $ 6.00 per direct - labor hour Standard quantity of direct labor 2 hours per unit of output Budgeted fixed overhead $ 100,000 Budgeted output 25,000 units Actual results for April are as follows: Actual output 20,000 units Actual variable overhead $ 320,000 Actual fixed overhead $ 97,000 Actual direct labor 50,000 hours Required: Prepare journal entries for the following transactions. Note: If no entry is required for a transaction /event, select "No journal entry required" in the first account field. Record the incurrence of actual variable overhead and actual fixed overhead. Add variable and fixed overhead to Work-in-Process Inventory. Close underapplied or overapplied overhead into Cost of Goods Sold.
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Computing product costs in an activity-based costing system Franklin, Inc. uses activity-based costing to account for its chrome bumper manufacturing process. Company managers hate identified four manufacturing activities: materials handling, machine setup, insertion of parts, and finishing. The budgeted activity costs for 2018 and their allocation bases are as follows Franklin expects to produce 500 chrome bumpers during the year. The bumpers are expected to use 4,000 parts, require 10 setups, and consume 1,000 hours of finishing time. Requirements Compute the predetermined overhead allocation rate for each activity. Compute the expected indirect manufacturing cost of each bumper.
Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: Cost Formulas Direct labor $16.40q Indirect labor $4,000 + $1.40q Utilities $5,300 + $0.30q Supplies $1,600 + $0.10q Equipment depreciation $18,500 + $3.00q Factory rent $8,200 Property taxes $2,500 Factory administration $13,600 + $0.60q The Production Department planned to work 4,400 labor-hours in March; however, it actually worked 4,200 labor-hours during the month. Its actual costs incurred in March are listed below: Actual Cost Incurred in March Direct labor $ 70,480 Indirect labor $ 9,340 Utilities $ 7,010 Supplies $ 2,250 Equipment depreciation $ 31,100 Factory rent $ 8,600 Property taxes $ 2,500 Factory…