Please do not give solution in image format thanku Problem 11-49 Complete Analysis of Cost Variances; Review of Chapters 10 and 11 (LO 11-5)Chillco Corporation produces containers of frozen food. During April, Chillco produced 810 cases of food and incurred the followingactual costs.Variable overheadFixed overheadActual labor cost (3,000 direct-labor hours)Actual material cost (13,000 pounds purchased and used)Overhead is budgeted and applied using direct-labor hours in a standard costing system. Standard cost and annual budgetinformation are as follows:Standard Costs per CaseDirect labor (3 hours at $18 per hour)Direct material (15 pounds at $2.30 perpound)Variable overhead (3 direct-labor hours at$2.50 per hour)Fixed overhead (3 direct-labor hours at $2per hour)TotalAnnual Budget Information$75,000Variable overheadFixed overheadPlanned activity for year$ 54.0034.507.506.00$ 7,4005,80055,80033,800$102.00$ 60,00030,000 direct-labor hours. Required:Compute the following cost variances from the available data. (Indicate the effect of each variance by selecting "Favorable" or"Unfavorable". Select "None" and enter "O" for no effect (i.e., zero variance). Do not round intermediate calculations.)Direct-material price varianceDirect-material purchase price varianceDirect-material quantity varianceDirect-labor rate varianceDirect-labor efficiency varianceVariable-overhead spending varianceVariable-overhead efficiency varianceFixed-overhead budget varianceFixed-overhead volume varianceUnfavorableUnfavorableUnfavorableUnfavorableUnfavorableFavorableUnfavorableUnfavorableUnfavorable

Name: Please do not give solution in image format thanku Problem 11-49 Compl
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Please do not give solution in image format thanku Problem 11-49 Complete Analysis of Cost Variances; Review of Chapters 10 and 11 (LO 11-5)Chillco Corporation produces containers of frozen food. During April, Chillco produced 810 cases of food and i

The difference between planned or budgeted values and actual results is examined using the technique…

Business

Accounting

Problem 11-49 Complete Analysis of Cost Variances; Review of Chapters 10 and 11 (LO 11-5) Chillco Corporation produces containers of frozen food. During April, Chillco produced 810 cases of food and incurred the following actual costs. Variable overhead. Fixed overhead Actual labor cost (3,000 direct-labor hours) Actual material cost (13,000 pounds purchased and used) Standard Costs per Case Direct labor (3 hours at $18 per hour). Direct material (15 pounds at $2.30 per pound) Overhead is budgeted and applied using direct-labor hours in a standard costing system. Standard cost and annual budget information are as follows: Variable overhead (3 direct-labor hours at $2.50 per hour) Fixed overhead (3 direct-labor hours at $2 per hour) Total $ 54.00 34.50 Variable overhead. Fixed overhead Planned activity for year 7.50 $ 7,400 5,800 6.00 $102.00 Annual Budget Information $75,000 $ 60,000 30,000 direct-labor hours. 55,800 33,800

Problem 11-49 Complete Analysis of Cost Variances; Review of Chapters 10 and 11 (LO 11-5) Chillco Corporation produces containers of frozen food. During April, Chillco produced 810 cases of food and incurred the following actual costs. Variable overhead. Fixed overhead Actual labor cost (3,000 direct-labor hours) Actual material cost (13,000 pounds purchased and used) Standard Costs per Case Direct labor (3 hours at $18 per hour). Direct material (15 pounds at $2.30 per pound) Overhead is budgeted and applied using direct-labor hours in a standard costing system. Standard cost and annual budget information are as follows: Variable overhead (3 direct-labor hours at $2.50 per hour) Fixed overhead (3 direct-labor hours at $2 per hour) Total $ 54.00 34.50 Variable overhead. Fixed overhead Planned activity for year 7.50 $ 7,400 5,800 6.00 $102.00 Annual Budget Information $75,000 $ 60,000 30,000 direct-labor hours. 55,800 33,800

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter9: Evaluating Variances From Standard Costs

Section: Chapter Questions

Problem 1PB: Direct materials and direct labor variance analysis Lenni Clothing Co. manufactures clothing in a...

See similar textbooks

Similar questions

Factory overhead cost variance report Feeling Better Medical Inc., a manufacturer of disposable medical supplies, prepared the following factory overhead cost budget for the Assembly Department for October of the current year. The company expected to operate the department at 100% of normal capacity of 30,000 hours. During October, the department operated at 28,500 hours, and the factory overhead costs incurred were indirect factory wages, 234,000; power and light, 178,500; indirect materials, 50,600; supervisory salaries, 126,000; depreciation of plant and equipment, 70,000; and insurance and property taxes, 44,000. Instructions Prepare a factory overhead cost variance report for October. To be useful for cost control, the budgeted amounts should be based on 28,500 hours.
Calculating amount of factory overhead applied to work in process The overhead application rate for a company is 2.50 per unit, made up of 1.00 for fixed overhead and 1.50 for variable overhead. Normal capacity is 10,000 units. In one month, there was an unfavorable flexible budget variance of 200. Actual overhead for the month was 27,000. What was the amount of the budgeted overhead for the actual level of production?
(Appendix) Calculating factory overhead: four variances Atlanta Adhesives Inc. budgets 15,000 direct labor hours for the year. The total overhead budget is expected to amount to 42,000. The standard cost for a unit of the companys product estimates the variable overhead as follows: The actual data for the period follow: Using the four-variance method, calculate the overhead variances. (Hint: First compute the budgeted fixed overhead rate.)
Use the following information to complete Brief Exercises 10-25 and 10-26: Tico Inc. produces plastic bottles. Each bottle has a standard labor requirement of 0.03 hour. During the month of April, 900,000 bottles were produced using 25,200 labor hours @ 15.00. The standard wage rate is 13.50 per hour. 10-25 Total Labor Variance Refer to the information for Tico Inc. on the previous page. Required: Calculate the total variance for production labor for the month of April.
Direct materials and direct labor variance analysis Lenni Clothing Co. manufactures clothing in a small manufacturing facility. Manufacturing has 25 employees. Each employee presently provides 40 hours of productive labor per week. Information about a production week is as follows: Instructions Determine (A) the standard cost per unit for direct materials and direct labor; (B) the price variance, quantity variance, and total direct materials cost variance; and (C) the rate variance, time variance, and total direct labor cost variance.
Botella Company produces plastic bottles. The unit for costing purposes is a case of 18 bottles. The following standards for producing one case of bottles have been established: During December, 78,000 pounds of materials were purchased and used in production. There were 15,000 cases produced, with the following actual prime costs: Required: 1. Compute the materials variances. 2. Compute the labor variances. 3. CONCEPTUAL CONNECTION What are the advantages and disadvantages that can result from the use of a standard costing system?
Using High-Low to Calculate Predicted Total Variable Cost and Total Cost for Budgeted Output Refer to the information for Pizza Vesuvio on the previous page. Assume that this information was used to construct the following formula for monthly labor cost. TotalLaborCost=5,237+(7.40EmployeeHours) Required: Assume that 675 employee hours are budgeted for the month of September. Use the total labor cost formula for the following calculations: 1. Calculate total variable labor cost for September. 2. Calculate total labor cost for September.
Salisbury Bottle Company manufactures plastic two-liter bottles for the beverage industry. The cost standards per 100 two-liter bottles are as follows: At the beginning of March, Salisburys management planned to produce 500,000 bottles. The actual number of bottles produced for March was 525,000 bottles. The actual costs for March of the current year were as follows: a. Prepare the March manufacturing standard cost budget (direct labor, direct materials, and factory overhead) for Salisbury, assuming planned production. b. Prepare a budget performance report for manufacturing costs, showing the total cost variances for direct materials, direct labor, and factory overhead for March. c. Interpret the budget performance report.
Escuchar Products, a producer of DVD players, has established a labor standard for its productdirect labor: 2 hrs at 9.65 per hour. During January, Escuchar produced 12,800 DVD players. The actual direct labor used was 25,040 hours at a total cost of 245,392. Required: 1. Compute the labor rate and efficiency variances. 2. Prepare journal entries for all activities relating to labor.
Activity-based costing: factory overhead costs The total factory overhead for Bardot Marine Company is budgeted for the year at 600,000, divided into four activities: fabrication, 204,000; assembly, 105,000; setup, 156,000; and inspection, 135,000. Bardot Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows: Each product is budgeted for 250 units of production for the year. Determine (A) the activity rates for each activity and (B) the activity-based factory overhead per unit for each product.
DO NOT GIVE SOLUTION IN IMAGE
EXERCISES: STANDARD COSTING with GROSS PROFIT VARIANCE ANALYSIS 1. Materials and Labor Variance Analysis Jollibee Company has established the standard for a single unit of its product, CLICK Camera Tripod: Direct materials Direct labor 2. 3. 3 pieces at P 5 per piece 2 hours at P 10 per hour At the start of July, production of 1,000 units of tripod was budgeted based on normal capacity. At the end of July, actual production was 1,200 units of tripod, which resulted to using 4,000 pieces of materials purchased at P 6 per piece. REQUIRED: 1. Based on the BUDGETED production of 1,000 units: A) How many pieces of materials must the company plan to use? (Budgeted quantity) B) How much materials cost is included in the budget? (Budgeted materials cost) Determine the actual cost of materials used. Based on the ACTUAL production of 1,200 units: A) How many pieces of materials should have been used? (Standard quantity) B) How much materials cost should have been incurred? (Standard materials…