O$1,400 favorable.$2,000 favorable.$600 unfavorable.$1,400 unfavorable.$400 favorable. The following information for the past year is available from Gas Company, a company that uses machine hours to apply standard factoryoverhead cost to outputs:Actual total factory overhead cost incurredActual fixed overhead cost incurredBudgeted fixed overhead costActual machine hours5,000Standard machine hours allowed for the units manufactured4,800Denominator volume-machine hours5,500Standard variable overhead rate per machine hour$ 3.00Under a two-variance breakdown (decomposition) of the total factory overhead variance, the fixed overhead production volume variance is:Multiple Choice$ 24,000$ 10,000$ 11,000$1,400 favorable

Name: O$1,400 favorable.$2,000 favorable.$600 unfavorable.$1,400 unfavorabl
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Description: O$1,400 favorable.$2,000 favorable.$600 unfavorable.$1,400 unfavorable.$400 favorable. The following information for the past year is available from Gas Company, a company that uses machine hours to apply standard factoryoverhead cost to outputs:Act

The production volume variance is the same in a two-variance decomposition, a three-variance…

Business

Accounting

The following information for the past year is available from Gas Company, a company that uses machine hours to apply standard factory overhead cost to outputs: Actual total factory overhead cost incurred Actual fixed overhead cost incurred Budgeted fixed overhead cost Actual machine hours. Multiple Choice $ 24,000 $ 10,000 Standard machine hours allowed for the units manufactured Denominator volume-machine hours Standard variable overhead rate per machine hour Under a two-variance breakdown (decomposition) of the total factory overhead variance, the fixed overhead production volume variance is $1,400 favorable $ 11,000 5,000 4,800 5,500 $ 3.00

The following information for the past year is available from Gas Company, a company that uses machine hours to apply standard factory overhead cost to outputs: Actual total factory overhead cost incurred Actual fixed overhead cost incurred Budgeted fixed overhead cost Actual machine hours. Multiple Choice $ 24,000 $ 10,000 Standard machine hours allowed for the units manufactured Denominator volume-machine hours Standard variable overhead rate per machine hour Under a two-variance breakdown (decomposition) of the total factory overhead variance, the fixed overhead production volume variance is $1,400 favorable $ 11,000 5,000 4,800 5,500 $ 3.00

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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Bonnie Company applies overhead based on machine hours. The variable overhead standard is 22 hours at $16.50 per hour. During March, Bonnie spent $264,150 for variable overhead, and 13,230 machine hours were used to produce 190 units. What is the variable overhead rate variance? Note: Do not round intermediate calculation. Multiple Choice $14,600 unfavorable $45,855 unfavorable $12,300 unfavorable $45,855 favorable
The Litton Company has established standards as follows: Direct material Direct Labor Variable manufacturing overhead Actual production figures for the past year are given below. The company records the materials price variance when materials are purchased. Variable manufacturing overhead cost incurred Units produced Direct materials used Direct materials purchased (3,000 pounds) 11,400 Direct Labor cost (1,100 hours) 9,240 5,720 The labor rate variance is: OOO The company applies variable manufacturing overhead to products on the basis of standard direct labor-hours. 480f O 3 pounds per unit @ 4 per pound= 12 per unit 480u O 440f 2 hours per unit @ 8 per hour= 16 per unit 2 hours per unit @ 5 per hour= 10 per unit 440u 600 units 2,000 pounds
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ThingOne Company has the following information available for the past year. They use machine hours to allocate overhead. Actual total overhead $81,140 Actual fixed overhead $33,500 Actual machine hours 11,000 Standard hours for the units produced 10,400 Standard variable overhead rate $4.60 What is the variable overhead efficiency variance? Enter the amount as positive number. Variable overhead efficiency variance $fill in the blank 1
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Primara Corporation has a standard cost system in which it applies overhead to products based on the standard direct labor-hours allowed for the actual output of the period. Data concerning the most recent year appear below: Total budgeted fixed overhead cost for the year Actual fixed overhead cost for the year Budgeted direct labor-hours (denominator level of activity) Actual direct labor-hours Standard direct labor-hours allowed for the actual output $ 426,4e0 $ 420,400 52,ee0 53,000 50,000 Requlred: 1. Compute the fixed portion of the predetermined overhead rate for the year. (Round Flxed portion of the predetermIned overhead rate to 2 declmal places.) 2 Compute the fixed overhead budget variance and volume variance.. (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (1.e., zero varlance.). Input ell amounts as positlve values.) 1. Fixed portion of the predetermined overhead rate per DLH 2. Budget variance Volume…