The following information relates to Pasko Company for the 4th quarter of the current year: Actual Factory overhead, P178,500; FOH rate, P1.50; Budgeted fixed overhead, P110,000; Standard variable overhead rate, PO.50; Spending variance, P8,000 unfavorable; Volume variance, P5,000 favorable. What were the standard hours allowed for good output during the quarter?

The following information relates to Pasko Company for the 4th quarter of the current year: Actual Factory overhead, P178,500; FOH rate, P1.50; Budgeted fixed overhead, P110,000; Standard variable overhead rate, PO.50; Spending variance, P8,000 unfavorable; Volume variance, P5,000 favorable. What were the standard hours allowed for good output during the quarter?

Name: The following information relates to Pasko Company for the 4th quarte
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Description: The following information relates to Pasko Company for the 4th quarter ofthe current year: Actual Factory overhead, P178,500; FOH rate, P1.50;Budgeted fixed overhead, P110,000; Standard variable overhead rate,PO.50; Spending variance, P8,000 unfavor

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Concept explainers

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Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.

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Question

The following information relates to Pasko Company for the 4th quarter of
the current year: Actual Factory overhead, P178,500; FOH rate, P1.50;
Budgeted fixed overhead, P110,000; Standard variable overhead rate,
PO.50; Spending variance, P8,000 unfavorable; Volume variance, P5,000
favorable. What were the standard hours allowed for good output during
the quarter?
105,000
106,667
110,000
115,000

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