Records at the Farnsworth Corporation contained the following data for the most recent period of activity: Actual total direct labor cost $ 472,360 Actual direct labor-hours worked Standard direct labor-hours allowed for actual output (flexible budget) Direct labor price variance Actual variable overhead Standard variable overhead rate per standard direct labor-hour Variable overhead is applied based on standard direct labor-hours allowed. Required: Compute the labor and variable overhead price and efficiency variances. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or unfavorable. If there is no effect, do not select either option. Direct labor Price variance Efficiency variance Variable overhead: Price variance Efficiency variance 15, 120 14,240 $45,500 F $ 347,500 $ 21

Records at the Farnsworth Corporation contained the following data for the most recent period of activity: Actual total direct labor cost $ 472,360 Actual direct labor-hours worked Standard direct labor-hours allowed for actual output (flexible budget) Direct labor price variance Actual variable overhead Standard variable overhead rate per standard direct labor-hour Variable overhead is applied based on standard direct labor-hours allowed. Required: Compute the labor and variable overhead price and efficiency variances. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or unfavorable. If there is no effect, do not select either option. Direct labor Price variance Efficiency variance Variable overhead: Price variance Efficiency variance 15, 120 14,240 $45,500 F $ 347,500 $ 21

Name: Hw.82. Records at the Farnsworth Corporation contained the following d
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Description: Hw.82. Records at the Farnsworth Corporation contained the following data for the most recent period of activity:Actual total direct labor costActual direct labor-hours workedStandard direct labor-hours allowed for actual output (flexible budget)Dire

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead

Section: Chapter Questions

Problem 18P: Kamen Manufacturing Co. estimates the following labor and overhead costs for the...

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Haliburton Mills Inc. is a large producer of men's and women's clothing. The company uses standard costs for all of its products. The standard costs and actual costs for a recent period are given below for one of the company's product lines (per unit of product): Standard Cost Actual Cost Direct materials: Standard: 2.0 metres at $4.50 per metre Actual: 2.4 metres at $4.25 per metre Direct labour: Standard: 2.4 hours at $3.50 per hour Actual: 2.0 hours at $3.85 per hour $ 9.00 $10.20 8.48 7.70 Variable manufacturing overhead: Standard: 2.4 hours at $3.00 per hour Actual: 2.0 hours at $3.65 per hour 7.20 7.30 Fixed manufacturing overhead: Standard: 2.4 hours at $3.90 per hour Actual: 2.0 hours at $3.95 per hour Total cost per unit 9.36 7.90 $33.96 $ 33.10 Actual costs: 4,580 units at $33.10 Standard costs: 4,500 units at $33.96 Difference in cost-favourable $148,950 152,820 $ 3,870 During this period, the company produced 4,500 units of product. A comparison of standard and actual costs…
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