The records of Heritage Home Supplies show the following for July. Standard direct labor-hours allowed per unit of output Standard variable overhead rate per standard direct labor-hour Good unita produced Actual direct labor-hours worked Actual total direct labor cost 632 3,560 13,775 $ 504,000 Direct labor efficiency variance Actual variable overhead $ 17.2987 $ 440,800 Required: Compute the direct labor and variable overhead price and efficiency varlances. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" fo unfavorable. If there is no effect, do not select either option. Direct labor: Price variance Efficiency variance Variable overhead: Price variance Efficiency variance

The records of Heritage Home Supplies show the following for July. Standard direct labor-hours allowed per unit of output Standard variable overhead rate per standard direct labor-hour Good unita produced Actual direct labor-hours worked Actual total direct labor cost 632 3,560 13,775 $ 504,000 Direct labor efficiency variance Actual variable overhead $ 17.2987 $ 440,800 Required: Compute the direct labor and variable overhead price and efficiency varlances. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" fo unfavorable. If there is no effect, do not select either option. Direct labor: Price variance Efficiency variance Variable overhead: Price variance Efficiency variance

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 25E: Cushing, Inc., costs products using a normal costing system. The following data are available for...

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Ripley, Inc., costs products using a normal costing system. The following data are available for last year: Overhead is applied on the basis of direct labor hours. Required: 1. What was the predetermined overhead rate? 2. What was the applied overhead for last year? 3. Was overhead over- or underapplied, and by how much? 4. What was the total cost per unit produced (carry your answer to four significant digits)?
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The records of Heritage Home Supplies show the following for July: Standard direct labor-hours allowed per unit of output Standard variable overhead rate per standard direct labor-hour Good units produced Actual direct labor-hours worked Actual total direct labor cost Direct labor efficiency variance Actual variable overhead Required: Compute the direct labor and variable overhead price and efficiency variances. $ 34 3,600 13,925 $ 510,200 $ 17,670 F $ 473,450 Note: Do not round Intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Direct labor: Price variance Efficiency variance Variable overhead: Price variance Efficiency variance
Subject : Accounting