Question Los Angeles Dodgers produces bobbleheads for their fans. At the beginning of the year, the Dodgers had the following data: $ Total Budget $ By the end of the year, the Dodgers showed the following data for the bobbleheads: Budgeted overhead Budgeted labour Actual direct material cost Actual direct labour cost Actual direct labour wage $ $ $ 180,000 15,000 Direct labour hours 195,000 4,200 3,600 10 Per direct labour hour
Variance Analysis
In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.
Standard Costing
The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.
Required solution: calculate the total cost of bobbleheads, explain the formulas applied step by step.
please don't provide answer in image format. thank you.
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