Wildhorse's Style manufactures dining room tables for both home and restaurant locations. Kevin Jason, the company's controller, developed the following standard costs for each 5-foot table. Ms. Jason developed these standards based on the company manufacturing 1,420 tables per month. Direct materials Direct labor Variable overhead Fixed overhead Total standard cost per table ● ● ● ● Standard Price $50.00 per linear foot 18.00 per DLH 16.00 per DLH 28.20 per DLH Standard Quantity 5.00 linear feet 12.00 DLH 12.00 DLH 12.00 DLH Standard Cost $250.00 216.00 192.00 338.40 $996.40 The company actually manufactured 1,320 tables during the month. 6,120 linear feet of direct materials were purchased during the month at a total cost of $258,264. 5,620 linear feet of direct materials were used to manufacture the tables. 16,620 direct labor hours were worked at a total cost of $245,160. Actual variable overhead was $286,800. Actual fixed overhead was $412,700.

Wildhorse's Style manufactures dining room tables for both home and restaurant locations. Kevin Jason, the company's controller, developed the following standard costs for each 5-foot table. Ms. Jason developed these standards based on the company manufacturing 1,420 tables per month. Direct materials Direct labor Variable overhead Fixed overhead Total standard cost per table ● ● ● ● Standard Price $50.00 per linear foot 18.00 per DLH 16.00 per DLH 28.20 per DLH Standard Quantity 5.00 linear feet 12.00 DLH 12.00 DLH 12.00 DLH Standard Cost $250.00 216.00 192.00 338.40 $996.40 The company actually manufactured 1,320 tables during the month. 6,120 linear feet of direct materials were purchased during the month at a total cost of $258,264. 5,620 linear feet of direct materials were used to manufacture the tables. 16,620 direct labor hours were worked at a total cost of $245,160. Actual variable overhead was $286,800. Actual fixed overhead was $412,700.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 6PB: Box Springs. Inc., makes two sizes of box springs: queen and king. The direct material for the queen...

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