Rartman Corporation makes a product with the following standard costs: Standard Standard Standard Price or Quantity or Cost Per Rate Hours Unit per Direct materials 6.5 pounds $ 7.00 $ pound 45.50 Direct labor 0.6 hours $ 24.00 per hour $ 14.40 Variable overhead 0.6 hours $4.00 per hour $ 2.40 In June the company's budgeted production was 3,400 units but the actual production was 3,500 units. The company used 22,150 pounds of the direct material and 2,290 direct labor-hours to produce this output. During the month, the company purchased 25,400 pounds of the direct material at a cost of $170,180. The actual direct labor cost was $57,021 and the actual variable overhead cost was $8,931. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The materials quantity variance for June is: $4,200 F O$4.200 U

Rartman Corporation makes a product with the following standard costs: Standard Standard Standard Price or Quantity or Cost Per Rate Hours Unit per Direct materials 6.5 pounds $ 7.00 $ pound 45.50 Direct labor 0.6 hours $ 24.00 per hour $ 14.40 Variable overhead 0.6 hours $4.00 per hour $ 2.40 In June the company's budgeted production was 3,400 units but the actual production was 3,500 units. The company used 22,150 pounds of the direct material and 2,290 direct labor-hours to produce this output. During the month, the company purchased 25,400 pounds of the direct material at a cost of $170,180. The actual direct labor cost was $57,021 and the actual variable overhead cost was $8,931. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The materials quantity variance for June is: $4,200 F O$4.200 U

Name: Kartman Corporation makes a product with the following standard costs
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Kartman Corporation makes a product with the following standard costs:StandardStandardStandard Price orQuantity orCost PerRateHoursUnitDirect materialsper6.5 pounds $ 7.002$45.50poundDirect labor0.6 hours $24.00 per hour $Variable overhead0.6 hours

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Majer Corporation makes a product with the following standard costs: Standard Quantity or Hours Standard Price or Rate Standard Cost Per Unit Direct materials 6.5 ounces $ 2.00 per ounce $ 13.00 Direct labor 0.8 hours $ 18.00 per hour $ 14.40 Variable overhead 0.8 hours $ 2.00 per hour $ 1.60 The company reported the following results concerning this product in February. Originally budgeted output 4,600 units Actual output 5,300 units Raw materials used in production 30,500 ounces Actual direct labor-hours 2,110 hours Purchases of raw materials 34,400 ounces Actual price of raw materials $ 97.10 per ounce Actual direct labor rate $ 87.60 per hour Actual variable overhead rate $ 6.10 per hour The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The variable overhead efficiency variance for February is:
7. Lonely Mountain Company uses standard costing. The standard cost of its product is as follows: Direct Materials P14.50 Direct labor (2direct labor hours X P8) 16.00 Manufacturing overhead (2 direct labor hours X P11) 22.00 The manufacturing overhead rate is based upon a normal activity level of 600,000 direct labor hours. Lonely Mountain planned to produce 25,000 units each month during the year. The budgeted annual manufacturing overhead is: Variable P3,600,000 Fixed 3,000,000 During March Lonely Mountain produced 26,000 units. Lonely Mountain used 53,500 direct labor hours in March at a cost of P433,350. Actual manufacturing overhead for the month was P250,000 fixed and P325,000 variable. What is the the manufacturing overhead volume variance for March ?
Tharaldson Corporation makes a product with the following standard costs: Direct materials Direct labor Variable overhead Standard Quantity or Hours 7.1 ounces 0.2 hours 0.2 hours Standard Price or Rate Standard Cost Per Unit $ 28.40 $ 4.00 per ounce $ 11.00 per hour $ 2.20 $ 4.00 per hour $ 0.80 The company reported the following results concerning this product in June. Originally budgeted output Actual output Raw materials used in production 2,500 units 3,000 units 21,500 ounces Purchases of raw materials Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost 22,500 ounces 560 hours $ 45,100 $ 12,500 $ 3,250 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor rate variance for June is: Multiple Choice $306 F $6.340 U $306 U $6,340 F
What are the actual hours worked? Hing Performance Measures 355 1,400 b. a. 1,402 c. 1,598 d. 27. The Sta. Ana Company has a budgeted normal monthly capacity of 5,000 labor hours with a standard production of 4,000 units at this capacity. Standard costs are: 1,600 Materials Labor Factory overhead at normal 2 kilos at P1.00 hour P8.00 per сараcity: Fixed expenses Variable P5.000.00 expenses PL.50 per labor hour During September, actual factory overhead totaled PI1,250, and 4,500 labor hours cost P33,750. Production during the month was 3,500 units using 7,200 kilos of materials at a cost of P1.02 per kilo. The materials price variance during September was: P1,440 unfavorable. b. P204 favorable. d. P3,440 unfavorable. None of the above. a. e. c. P140 favorable. 28. Refer to Question No. 27. The labor efficiency variance was: d. P62.50 favorable. a. P2,250 unfavorable. None of the above. b. P1,000 unfavorable. P2,187.50 favorable. e. с. 29. Leia Company's direct-labor costs for the month…
Laura Company calculates its predetermined rates using practical volume, which is 288,000 units. The standard cost system allows 2 direct labor hours per unit produced. Overhead is applied using direct labor hours. The total budgeted overhead is P3,168,000, of which P864,000 is fixed overhead. The actual results for the year are as follows: Units produced: 280,000 Direct labor hours 570,000 Direct labor rate P9 Variable overhead P2,320,000 Fixed overhead P872,000 Required: Determine the following: predetermined fixed OH rate per hour predetermined variable OH rate per hour applied fixed OH 7. variable OH efficiency variance fixed OH spending variance fixed OH volume variance variable OH spending variance
Mohammed Company employs a standard cost system. Mohammed has established the following standards for one unit of product: Standard Quantity Standard Price Standard Cost Direct materials 12.0 pounds $ 7.00/pound $ 84.00 Direct labor 2.0 hours $15.00/hour 75.00 During June, Mohammed planned to produce 21,000 units of product. It purchased 330,000 pounds of direct material at a total cost of $2,343,000. The total factory wages for June were $1,440,000. Mohammed manufactured 20,000 units of product during June using 302,000 pounds of direct material and 41,000 direct labor hours. How much is the labor efficiency variance? $15,000 unfavorable $75,000 unfavorable $75,000 favorable $15,000 favorable $35,000 favorable
A company makes a product with the following standard costs: Standard Quantity or Hours Standard Cost Per Standard Price or Rate Unit Direct materials 7.6 ounces $4.00 per ounce $30.40 $5.00 $ 4.50 Direct labor 0.5 hours $ 10.00 per hour Variable overhead 0.5 hours $ 9.00 per hour The company reported the following results concerning this product In June. Originally budgeted output Actual output Raw materials used in production Purchases of raw materials Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost 3,000 units 3,100 units 16,300 ounces 17,400 ounces 510 hours $ 45,000 $ 13,000 $3,500 The company applles varlable overhead on the basls of direct labor-hours. The labor rate varlance for June Is: - ఆడిం Multiple Choice $7.900 F $7,900 U $1,337 U
Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct materials: 6 pounds at $8 per pound Direct labor: 4 hours at $17 per hour Variable overhead: 4 hours at $4 per hour Total standard cost per unit $ 48 68 16 $132 The planning budget for March was based on producing and selling 19,000 units. However, during March the company actually produced and sold 24,000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $7.20 per pound. All of this material was used in production. b. Direct laborers worked 72,000 hours at a rate of $18 per hour. c. Total variable manufacturing overhead for the month was $336,960. Foundational 10-1 Required: 1. What raw materials cost would be included in the company's planning budget for March?
Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct materials: 5 pounds at $9 per pound Direct labor: 3 hours at $14 per hour Variable overhead: 3 hours at $8 per hour Total standard cost per unit $ 45 42 24 $ 111 The planning budget for March was based on producing and selling 28,000 units. However, during March the company actually produced and sold 34,000 units and incurred the following costs: a. Purchased 180,000 pounds of raw materials at a cost of $8.50 per pound. All of this material was used in production. b. Direct laborers worked 69,000 hours at a rate of $15 per hour. c. Total variable manufacturing overhead for the month was $565,110. 13. What variable manufacturing overhead cost would be included in the company's flexible budget for March? Variable manufacturing overhead cost
A manufactured product has the following information for August. Standard Actual Direct materials 2 lbs. per unit @ $2.50 per lb. Direct labor 0.5 hours per unit @ $16 per hour Overhead $12 per direct labor hour Units manufactured 12,000 Total manufacturing costs $ 225,400 (1) Compute the standard cost per unit.(2) Compute the total budgeted cost for production in August.(3) Compute the total cost variance for August.
Mcniff Corporation makes a range of products. The company's predetermined overhead rate is $17 per direct labor-hour, which was calculated using the following budgeted data: Variable manufacturing overhead $ 80,000 Fixed manufacturing overhead $ 260,000 Direct labor-hours 20,000 Management is considering a special order for 710 units of product O96S at $65 each. The normal selling price of product O96S is $76 and the unit product cost is determined as follows: Direct materials $ 38.00 Direct labor 17.00 Manufacturing overhead applied 17.00 Unit product cost $ 72.00 If the special order were accepted, normal sales of this and other products would not be affected. The company has ample excess capacity to produce the additional units. Assume that direct labor is a variable cost, variable manufacturing overhead is really driven by direct labor-hours, and total fixed manufacturing overhead would not be affected by the special…
Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct materials: 6 pounds at $8 per pound $ 48 Direct labor: 4 hours at $17 per hour 68 Variable overhead: 4 hours at $4 per hour 16 Total standard cost per unit $ 132 The planning budget for March was based on producing and selling 19,000 units. However, during March the company actually produced and sold 24,000 units and incurred the following costs: Purchased 160,000 pounds of raw materials at a cost of $7.20 per pound. All of this material was used in production. Direct laborers worked 72,000 hours at a rate of $18 per hour. Total variable manufacturing overhead for the month was $336,960. 1. What raw materials cost would be included in the company’s planning budget for March? 2. What raw materials cost would be included in the company’s flexible budget for March? 3. What is the…