Standard cost card- Mx cabinet Direct material: Lumber 50 board feet at P4 Direct Labor: 8 hours at P10 Overhead costs: Variable -8 hours at P5 Fixed - 8 hours at P3 P200 80 40 Total standard unit cost 24 P344 During June 2014, 500 of these cabinets were produced. The cost of operations during the month shown below. There are no work-in process at the beginning and end of the month. Direct materials purchased: 30,000 board feet at P4.10 Direct materials used: 24,000 board feet Direct labor: 4,200 hours at P9.50 Overhead costs: Variable costs Fixed costs P123,000 39,900 22,000 11,000 The budgeted overhead for the cabinet department used based on normal monthly activity of 4,500 hours is P36,000 of which 22,500 is variable and P13,500 is fixed overhead. Required: a. Compute for the following variances: 1. Direct material price variance 2. Direct material usage variance 3. Direct labor rate variance 4. Direct labor efficiency variance b. Compute for the factory overhead variance using 3 way analysis.

Standard cost card- Mx cabinet Direct material: Lumber 50 board feet at P4 Direct Labor: 8 hours at P10 Overhead costs: Variable -8 hours at P5 Fixed - 8 hours at P3 P200 80 40 Total standard unit cost 24 P344 During June 2014, 500 of these cabinets were produced. The cost of operations during the month shown below. There are no work-in process at the beginning and end of the month. Direct materials purchased: 30,000 board feet at P4.10 Direct materials used: 24,000 board feet Direct labor: 4,200 hours at P9.50 Overhead costs: Variable costs Fixed costs P123,000 39,900 22,000 11,000 The budgeted overhead for the cabinet department used based on normal monthly activity of 4,500 hours is P36,000 of which 22,500 is variable and P13,500 is fixed overhead. Required: a. Compute for the following variances: 1. Direct material price variance 2. Direct material usage variance 3. Direct labor rate variance 4. Direct labor efficiency variance b. Compute for the factory overhead variance using 3 way analysis.

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

Direct materials (cork board) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($42,000+ 210,000. units) Standard Quantity 2.50 square feet 1 hour Cost of corkboard used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost. 1 hour Bullseye has the following actual results for the month of September: Number of units produced and sold Number of square feet of corkboard purchased and used Complete this question by entering vour answers in the tabs below. Standard Price (Rate) $2.30 per square feet $ 16.00 per hour. $0.50 per hour Required: 1. Calculate the direct materials price, quantity, and total spending variances for Bullseye. 2. Calculate the direct labor rate, efficiency, and total spending variances for Bullseye. 3. Calculate the variable overhead rate, efficiency, and total spending variances for Bullseye. < Prev 41 of 41 190,000 500,000 $1,100,000 198,000 $ 2,989,800 $ 90,000 $ 64,000…
subject : Accounting
Hello, The standards for one case of liquid weed killer are as follows: Direct materials 7 lbs @$8.25 pr/lb Direct labor 4 hours @$17.6/hr Variable overhead (based on machine hours) 1.3 hr @$6.05/hr During the week ending May 6, the following activity took place 5,632 machine hours were worked 32,239 lb of raw material were purchased for inventory at a total cost of $271,452. 4,560 cases of finished product were produced. 31,755 lb. of raw material were used. 17,839 labor hours were worked at an average rate of $17.88 per hour. $32,891 actual variable overhead costs were incurred. Calculate each of the following variances: Do not round intermediate calculations. Raw materials usage variance ??? Direct labor rate variance ??? Direct labor efficiency variance ??? Variable overhead spending variance ??? Variable overhead efficency variance ??? Thanks...
Please do not give solution in image format
For the month of January, Vista Corporation produced and sold 12,000 units of a product. Manufacturing and selling costs incurred during January were: Direct material and direct labor 4,800,000 Variable factory overhead 1,080,000 Fixed factory overhead 2,400,000 Variable selling costs 1,200,000 How much is the product’s unit cost under absorption costing ? Group of answer choices P 490 P 500 P510 P 520
Prime Cost, Conversion Cost, Preparation of Income Statement: Manufacturing Firm Kildeer Company makes easels for artists. During the last calendar year, a total of 34,000 easels were made, and 35,000 were sold for $52 each. The actual unit cost is as follows: Direct materials Direct labor Variable overhead Fixed overhead Total unit cost Required: $15.00 6.00 Ending units Dollar amount 4.00 14.00 The selling expenses consisted of a commission of $0.90 per unit sold and advertising co-payments totaling $94,500. Administrative expenses, all fixed, equaled $176,500. There were no beginning and ending work-in-process inventories. Beginning finished goods inventory was $109,200 for 2,800 easels. $39.00 1. Calculate the number and the dollar value of easels in ending finished goods inventory. 1,800 ✓ 70,200 2. Prepare a cost of goods sold statement. Kildeer Company Statement of Cost of Goods Sold For the Year Ended December 31 Cost of goods manufactured Add: Beginning finished goods…
KBG Manufacturing has the following standard cost sheet for one of its products: Direct materials ( 5 ft. @ $5) $25 Direct labour (1 hours @ $10) 10 Variable overhead ( 1 hours@ $ 4) 4 Fixed overhead ( 1 hours@ $2*) 2 Standard unit cost 41 *Rate based on expected activity of 15,000 hours. During the most recent year, the following actual results were recorded: Production 10,000 units Fixed overhead $30,000 Variable overhead $57,000 Direct materials (71,250 ft. purchased) $361,620 Direct labour (15,900 hours) $ 182,580 Required: Compute the following variances: 1. Direct materials price and usage variances. 2. Direct labour rate and efficiency variances
Cop
Required information [The following information applies to the questions displayed below.] A manufactured product has the following information for June. Direct materials Direct labor Overhead Units manufactured Standard Quantity and Cost 7 pounds @ $8 per pound 3 DLH @ $15 per DLH 3 DLH @$13 per DLH Actual Results 62,100 pounds @ $8.10 per pound 26,000 hours @ $15.50 per hour $ 349,600 8,800 units Compute the (1) direct labor rate variance and (2) direct labor efficiency variance. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "Rate per hour" answers to 2 decimal places.) AH = Actual Hours SH=Standard Hours AR = Actual Rate SR Standard Rate Actual Cost $ 0 $ 00 0 0 $ 0 Standard Cost
Please do not give solution in image format thanku
Please do not give images format
Enviro Corporation manufactures a special liquid cleaner at its Green Plant. Operating data for June follow: Material $714,000 Labor 61,200 Manufacturing Overhead 244,800 The green plant produced 850,000 gallons in June. The plant never has any beginning or ending inventories. Compute the cost per gallon of liquid cleaner produced in June.