### Budgeted vs. Actual Analysis| Item | Budgeted | Actual ||------------------------------|-----------------|-----------------|| Sales volume | 100 units | 110 units || Sales price | $50 per unit | $55 per unit || Unit VC | $30 per unit | $33 per unit || Input price for DL | $10 per hour | $12 per hour || Input quantity per unit for DL | 1.5 hours per unit | 2 hours per unit |**Task:** Compute the input efficiency variance for direct labor (DL).#### Options:- $100 unfavorable- $550 unfavorable- 0.5 hours unfavorable- $550 favorable- $100 favorableThis table compares budgeted figures versus actual figures for various financial metrics, including sales volume, sales price, unit variable cost (VC), direct labor (DL) input price, and DL input quantity per unit. The objective is to determine the variance in the efficiency of input concerning direct labor hours.To compute the input efficiency variance for DL, you need to first calculate the difference in the actual and budgeted hours, then multiply by the budgeted rate per hour. Consider which option reflects the calculated variance.

Input efficiency variance for DL measures the variance in standard hours allowed for actual output…

Sales volume Sales price Unit VC Input price for DL Input quantity per unit for DL Budgeted 100 units $50 per unit O $550 favorable $30 per unit O $100 unfavorable O $550 unfavorable O $100 favorable $10 per hour 1.5 hours per unit O 0.5 hours unfavorable Actual 110 units $55 per unit Compute input efficiency variance for DL $33 per unit $12 per hour 2 hours per unit

Sales volume Sales price Unit VC Input price for DL Input quantity per unit for DL Budgeted 100 units $50 per unit O $550 favorable $30 per unit O $100 unfavorable O $550 unfavorable O $100 favorable $10 per hour 1.5 hours per unit O 0.5 hours unfavorable Actual 110 units $55 per unit Compute input efficiency variance for DL $33 per unit $12 per hour 2 hours per unit

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

PLS ABC corporation produces plastic bottles. Details of cost are given below: Standard unit quantity per plastic bottle Actual production of bottles Actual quantity used Actual cost of plastic Standard price 0.045 ounce per plastic bottle 240,000 110,000 S0.042 per ounce $0.045 per ounce Material price variance for ABC corporation is: a. $330 Unfavorable b. $720 Favorable c. $330 Favorable d. $720 Unfavorable
Contribution Margin Variance Iliff, Inc., produces and sells two types of countertop ovens—the toaster oven and the convection oven. Budgeted and actual data for the two models are shown below. Budgeted Amounts: ToasterOven ConvectionOven Total Sales: ($100 × 26,000) $2,600,000 ($145 × 16,000) $2,320,000 $4,920,000 Variable expenses 455,000 750,000 1,205,000 Contribution margin $2,145,000 $1,570,000 $3,715,000 Actual Amounts: ToasterOven ConvectionOven Total Sales: ($80 × 24,500) $1,960,000 ($165 × 13,500) $2,227,500 $4,187,500 Variable expenses 500,000 703,400 1,203,400 Contribution margin $1,460,000 $1,524,100 $2,984,100 Required: 1. Calculate the contribution margin variance.
Don't give answer in image format
Question 29 Cases Ltd sells premium phone cases. The following data are available regarding their annual sales. Actual Budgeted 12,400 11,600 £165,000 £ 84,000 Sales (units) Sales (value in £) Variable costs at standard price The sales volume variance is: O A. £4,161 adverse OB. £5,586 adverse O C. £4,448 adverse O D. £4,448 favourable O E. £5,586 favourable OF. £4,161 favourable £ 154,500 £90,000
Question 3
Contribution Margin Volume Variance Ioannis Inc., produces and sells two types of countertop ovens—the toaster oven and the convection oven. Budgeted and actual data for the two models are shown below. Budgeted Amounts: ToasterOven ConvectionOven Total Sales: ($96 × 27,500) $2,640,000 ($151 × 19,500) $2,944,500 $5,584,500 Variable expenses 535,000 750,000 1,285,000 Contribution margin $2,105,000 $2,194,500 $4,299,500 Actual Amounts: ToasterOven ConvectionOven Total Sales: ($85 × 27,000) $2,295,000 ($163 × 13,000) $2,119,000 $4,414,000 Variable expenses 513,200 721,200 1,234,400 Contribution margin $1,781,800 $1,397,800 $3,179,600 1. Calculate the budgeted average unit contribution margin. 2. Calculate the contribution margin volume variance
Contribution Margin Volume Variance Iliff, Inc., produces and sells two types of countertop ovens—the toaster oven and the convection oven. Budgeted and actual data for the two models are shown below. Budgeted Amounts: ToasterOven ConvectionOven Total Sales: ($92 × 29,500) $2,714,000 ($155 × 15,500) $2,402,500 $5,116,500 Variable expenses 495,000 780,000 1,275,000 Contribution margin $2,219,000 $1,622,500 $3,841,500 Actual Amounts: ToasterOven ConvectionOven Total Sales: ($81 × 25,000) $2,025,000 ($165 × 12,500) $2,062,500 $4,087,500 Variable expenses 539,600 712,300 1,251,900 Contribution margin $1,485,400 $1,350,200 $2,835,600 Required: 1. Calculate the budgeted average unit contribution margin. Round your answer to the nearest cent. Use rounded answer in subsequent computations. 2.…
Please do not give solution in image format thanku
Production data for 1 sinatra Materials 2.4 kg and £3 per kg Direct labour 1.5 hours at £5 per hour Variable overhead rate £4 per direct labour hour Fixed overhead absorption rate £7 per direct labour hour Budgeted production 5,000 sinatras The marginal cost of a sinatra is A £7.50 B £14.70 C £20.70 D £31.20
Vaibhav
Help
Little Table of Information (L'TOI) The table reminds you about the difference between finished units (sales volume) and resources units used to produce those sales. Also, BOTH the +2 and SQ must reflect the actual and standard (planned) resource units needed to produce the actual sales volume. Little Table of Information (L'TOI) Flexible Budget Actual Actual Finished Units (FU) Sold 17,000 17,000 x Resource Units per FU 1.00 1.50 = Total Resource Units (RU) (SQ) 17,000 25,500 (AQ) x Price per RU (SP) $8.00 $7.00 (AP) = Total cost $136,000 $178,500 Problem 6.1: In August, Phelps produced 5,000 award medals, 100 more than expected. During the month, the company purchased 1,100 ounces of gold for $875,000. Material standards per medal: 0.21 ounces @ $800 per ounce. The company actually used 1,000 ounces of gold for production. Calculate direct materials price and quantity variances. Problem 6.2: Shevlin Enterprises purchased 60,000 gallons of direct materials during the year at a price…