Chapter 8, Problem 8.35P

Comprehensive variance analysis. Cooking Whiz manufactures premium food processors. The following are some manufacturing overhead data for Cooking Whiz for the year ended December 31, 2017:

Manufacturing Overhead	Actual Results	Flexible Budget	Allocated Amount
Variable	$ 71,808	$ 80,640	$ 80,640
Fixed	360,672	51,360	368,640

Budgeted number of output units: 915

Planned allocation rate: 2 machine-hours per unit

Actual number of machine-hours used: 1,632

Static-budget variable manufacturing overhead costs: $76,860

Compute the following quantities (you should be able to do so in the prescribed order):

  Required

1. A. Budgeted number of machine-hours planned
2. B. Budgeted fixed manufacturing overhead costs per machine-hour
3. C. Budgeted variable manufacturing overhead costs per machine-hour
4. D. Budgeted number of machine-hours allowed for actual output produced
5. E. Actual number of output units
6. F. Actual number of machine-hours used per output unit