Homework Help is Here – Start Your Trial Now!
Business
Accounting
Question 14 The labor flexible budget/spending variance amounts to P. Indicate in your solution sheet whether it is FAVORABLE or UNFAVORABLE For uniformity of answers, if the variance is FAVORABLE encode a minus sign before the numerical answer. Do not place spaces

Question 14 The labor flexible budget/spending variance amounts to P. Indicate in your solution sheet whether it is FAVORABLE or UNFAVORABLE For uniformity of answers, if the variance is FAVORABLE encode a minus sign before the numerical answer. Do not place spaces

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Answer with complete excel solutions please!
D Question 14 The labor flexible budget/spending variance amounts to P. Indicate in your solution sheet whether it is FAVORABLE or UNFAVORABLE For uniformity of answers, if the variance is FAVORABLE encode a minus sign before the numerical answer. Do not place spaces.
Transcribed Image Text:D Question 14 The labor flexible budget/spending variance amounts to P. Indicate in your solution sheet whether it is FAVORABLE or UNFAVORABLE For uniformity of answers, if the variance is FAVORABLE encode a minus sign before the numerical answer. Do not place spaces.
Variance Performance Analysis Cryołab Inc makes and sells a lawn fertilizer called Hypergro. The company has developed standard costs for one bag of Hypergro as follows: Standard Quantity/Hours Standard Price/Rate Standard Cost per Bag Direct Material 25 pounds P 0.75 P18.75 Direct Labor 0.25 hours P69.00 P17.30 Variable overhead 0.25 hours P24.00 P 6.00 Total P42.05 The company had no beginning inventories of any kind on January 1. Variable overhead is applied to production on the basis of standard direct labor hours. During January, the following activity was recorded by the company: • Production of Fastgro: 23,000 bags • Direct materials purchased: 585.000 pounds at a cost of P436.250 • Direct labor worked: 5,800 hours at a cost of P397,300 • Varlable overhead incurred: P140,650 • Inventory of direct materials on January 31: 8,000 pounds Compute the variances and indicate whether it is FAVORABLE (F) or UNFAVORABLE (U) in your solution sheet.
Transcribed Image Text:Variance Performance Analysis Cryołab Inc makes and sells a lawn fertilizer called Hypergro. The company has developed standard costs for one bag of Hypergro as follows: Standard Quantity/Hours Standard Price/Rate Standard Cost per Bag Direct Material 25 pounds P 0.75 P18.75 Direct Labor 0.25 hours P69.00 P17.30 Variable overhead 0.25 hours P24.00 P 6.00 Total P42.05 The company had no beginning inventories of any kind on January 1. Variable overhead is applied to production on the basis of standard direct labor hours. During January, the following activity was recorded by the company: • Production of Fastgro: 23,000 bags • Direct materials purchased: 585.000 pounds at a cost of P436.250 • Direct labor worked: 5,800 hours at a cost of P397,300 • Varlable overhead incurred: P140,650 • Inventory of direct materials on January 31: 8,000 pounds Compute the variances and indicate whether it is FAVORABLE (F) or UNFAVORABLE (U) in your solution sheet.
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Investment in Stocks
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS