Please, look at image. The Costa Company uses a flexible budget and standard costs to aid planning and control of its machining manufacturing operations. Its costing system for manufacturing has two direct-cost categories (direct materials and direct manufacturing labor-both variable) andtwo overhead-cost categories (variable manufacturing overhead and fixed manufacturing overhead, both allocated using direct manufacturing labor-hours). The following actual results are for August:E (Click the icon to view the results.)Some additional information about Costa Company's budget, standard costs and labor follows:(Click the icon to view additional information.)Read the reguirements.Requirement 1. Compute the listed amounts for August.Determine the formula, then complete the computation for each. (Abbreviations used: DM = Direct materials, mfg. = manufacturing, OH = Overhead.)a. Total pounds of direct materials purchased.Pounds of DMMore InfopurchasedAt the 30,000 budgeted direct manufacturing labor-hour level for August, budgeted directmanufacturing labor is $750,000, budgeted variable manufacturing overhead is $300,000, andbudgeted fixed manufacturing overhead is $750,000.Data TableThe standard cost per pound of direct materials is $11.50. The standard allowance is 6 pounds ofdirect materials for each unit of product. During August, 40,000 units of product were produced.There was no beginning inventory of direct materials. There was no beginning or ending work inprocess. In August, the direct materials price variance was $1.10 per pound.Direct materials price variance (based on purchases)$179,300 FDirect materials efficiency variance$770,500 UIn July, labor unrest caused a major slowdown in the pace of production, resulting in an unfavorabledirect manufacturing labor efficiency variance of $327,500. There was no direct manufacturing laborprice variance. Labor unrest persisted into August. Some workers quit. Their replacements had to behired at higher wage rates, which had to be extended to all workers. The actual average wage rate inAugust exceeded the standard average wage rate by $0.50 per hour.Direct manufacturing labor costs incurred624,750Variable manufacturing overhead flexible-budget variance10,650 UVariable manufacturing overhead efficiency variance18,600 UChoose from any list or enter anFixed manufacturing overhead incurred707,46012 partsremainingClearPrintDonenswerPrintDone

Direct materials purchased = Direct material price variance / Direct material price variance per…

The Costa Company uses a flexible budget and standard costs to aid planning and control of its machining manufacturing operations. Its costing system for manufacturing has two direct-cost categories (direct materials and direct manufacturing labor-both variable) and two overhead-cost categories (variable manufacturing overhead and fixed manufacturing overhead, both allocated using direct manufacturing labor-hours). The following actual results are for August E (Click the icon to view the results.) Some additional information about Costa Company's budget, standard costs and labor follows: A (Click the icon to view additional information.) O Read the requirements Requirement 1. Compute the listed amounts for August. Determine the formula, then complete the computation for each. (Abbreviations used: DM = Direct materials, mfg. = manufacturing, OH = Overhead.) a. Total pounds of direct materials purchased. - X Pounds of DM O More Info purchased At the 30,000 budgeted direct manufacturing labor-hour level for August, budgeted direct manufacturing labor is $750,000, budgeted variable manufacturing overhead is $300,000, and budgeted fixed manufacturing overhead is $750,000. A Data Table - X The standard cost per pound of direct materials is $11.50. The standard allowance is 6 pounds of direct materials for each unit of product. During August, 40,000 units of product were produced. There was no beginning inventory of direct materials. There was no beginning or ending work in process. In August, the direct materials price variance was $1.10 per pound. Direct materials price variance (based on purchases) $179,300 F Direct materials efficiency variance $770,500 U In July, labor unrest caused a major slowdown in the pace of production, resulting in an unfavorable direct manufacturing labor efficiency variance of $327,500. There was no direct manufacturing labor price variance. Labor unrest persisted into August. Some workers quit. Their replacements had to be hired at higher wage rates, which had to be extended to all workers. The actual average wage rate in August exceeded the standard average wage rate by $0.50 per hour. Direct manufacturing labor costs incurred 624,750 Variable manufacturing overhead flexible-budget variance 10,650 U Variable manufacturing overhead efficiency variance 18,600 U Choose from any list or enter ar Fixed manufacturing overhead incurred 707,460 12 parts remaining Clear Print Done nswer Print Done