Toneri Otsutsuki Corp. determines that the following variances arose in produciionduring March:VarianceMaterials purchase price.Materials quantityLabor efficiencyLabor rateAmountP2,400 favorable1,000 favorable500 favorable750unfavorableFactory overhead volumeFactory overhead controllable.1,700 favorable2,9 50unfavorableMaterials purchases totaled P90,000 at standard costs, while P77,000 in materials weretaken from inventory for use in production. Labor payroll totaled P144,000, and actualoverhead incurred was P256,000.Required: Prepare the journal entries to record the above variances, including therecording of the actual and applied factory overhead using a single factory overheadcontrol account.

Journla entry is part of book keeping .

Answered: Required: Prepare the joumal entries to…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Compute the FOH rate Compute the under or applied Factory Overhead Assume the variance is material, what is the adjustment of the COGS Assume the variance is material, what is the variance share of the Finished goods inventory acc Assume the variance is material, what is the variance share of the Work in Process account
Examine the flowchart below and determine any control threats. Discuss the control problems, possible dangers and any corrective procedures that would recommend
Which of the following statement is not correct? Select one: а. FIFO method consider the beginning cost in its calculation of total cost of beginning work in process. b. FIFO used when work perform on the manufactured units is based on an order received. Ос. FIFO method is preferable to be used to get in detail information about the cost. d. FIFO consider work performed on all units that go through the department to be uniform.
There are standard amounts of factory overhead. Explain the procedures to determine standard amounts of factory overhead at different levels of production.
I need help with parts B & C please!! REQUIRED C. Record entry for direct material costs payable and material variances. Record entry for direct labor costs payable and labor variances. Record the entry for variable overhead applied. Record the entry for variable overhead payable. Record the variable overhead variances. Record the entry for fixed overhead applied. Record the entry for fixed overhead payable. Record the fixed overhead variances. Record entry to transfer finished goods to inventory. Record sales on accounts. Record cost of goods sold. Record the disposition of variances to cost of goods sold.
Please help me to solve this problem
4. Compute the Material Price variance 5. Compute the Material Quantity variance 6. Compute the Total Labor variance 7. Compute the Labor Price variance 8. Compute the Labor Quantity variance 9. Compute the Total Manufacturing Overhead variance 10. Which variance(s) would be the responsibility of the Production Manager? 11. Which variance(s) would be the responsibility of the Purchasing Manager? Show all calculations for each item step-by-step
Question 3 A shoe company had the following journal entries recorded for the end of June. Materials Control 300,000 Direct Materials Price Variance 10,000 Accounts Payable Control 290,000 Work-in-Process Control 120,000 8,000 Direct Materials Efficiency Variance Materials Control 128,000 Standard cost for direct labor per pair of shoes: 1 hour at a standard price of $100 each. The company produced 8,500 shoes in June with 8,470 hours and incurred total direct labor costs of $832,000.
Required:1. Compute the plantwide predetermined overhead rate and calculate the overhead assigned toeach product.2. Calculate the predetermined departmental overhead rates and calculate the overheadassigned to each product.3. Using departmental rates, compute the applied overhead for the year. What is the under- oroverapplied overhead for the firm?4. Prepare the journal entry that disposes of the overhead variance calculated in Requirement3, assuming it is not material in amount. What additional information would you need ifthe variance is material to make the appropriate journal entry?
Briefly describe various variances relating to factory overheads. How material, labor and overhead variances calculated and recorded?

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Required: Prepare the joumal entries to record the above variances, including the recording of the actual and applied factory overhead using a single factory overhead control account.