Schedule of total standard manufacturing costs for 7,600 units.

Question

Want to see the full answer?

Answer 1

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Can you explain the correct methodology to solve this general accounting problem?

I need help with this general accounting question using the proper accounting approach.

Please explain the correct approach for solving this general accounting question.

Answer 2

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Answer 6

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

Answer 7

Chapter 8, Problem 8.39P

1.

To determine

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

Answer 8

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

Answer 9

2.

a.

To determine

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

Answer 10

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

Answer 11

b.

To determine

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

Answer 12

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

Answer 13

c.

To determine

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

Answer 14

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

Answer 15

d.

To determine

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

Answer 16

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

Answer 17

e.

To determine

To compute: Total manufacturing overhead spending variance.

Given information:

January 2014,

Denominator level for total manufacturing overhead per month is 37,000 direct manufacturing labor-hours.

Actual manufacturing overhead is $650,000.

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted variable overhead rate is $8 per labor hour.

Answer 18

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

Answer 19

f.

To determine

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

Answer 20

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Answer 21

g.

To determine

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.

Answer 22

Expert Solution & Answer

Answer 23

Expert Solution & Answer

Answer 24

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 25

Ch. 8 - How do managers plan for variable overhead costs?Ch. 8 - How does the planning of fixed overhead costs...Ch. 8 - How does standard costing differ from actual...Ch. 8 - What are the steps in developing a budgeted...Ch. 8 - What are the factors that affect the spending...Ch. 8 - Assume variable manufacturing overhead is...Ch. 8 - Describe the difference between a direct materials...Ch. 8 - What are the steps in developing a budgeted fixed...Ch. 8 - Why is the flexible-budget variance the same...Ch. 8 - Explain how the analysis of fixed manufacturing...

Schedule of total standard manufacturing costs for 7,600 units.

To prepare: Schedule of total standard manufacturing costs for 7,600 units.

To compute: Direct materials price variance, based on purchases Given information: January 2014, Actual direct cost is $3.80 per pound. Budgeted direct cost is $4.00 per pound. Direct material purchased is 40,300 pounds

To compute: Direct materials efficiency variance. Given information: January 2014, Actual output is 7,600 units. Budgeted direct material per unit is 5 pounds per unit. Actual quantity of direct material used is 37,300 pounds. Budgeted rate per pound is $4 per pound.

To compute: Direct manufacturing labor price variance. Given information: January 2014, Actual labor is 31,400 hours. Actual direct cost is $16.25 per hour. Budgeted direct cost is $16 per hour.

To compute: Direct manufacturing labor efficiency variance. Given information: January 2014, Actual output is 7,600 units. Budgeted direct material per unit is 5 pounds per unit. Actual quantity of input hours is 31,400 hours. Budgeted rate per pound is $16 per hour.

To compute: Variable manufacturing overhead efficiency variance. Given information: January 2014, Actual quantity of input hours is 31,400 hours. Budgeted quantity of input for actual output is 30,400 hours. Budgeted variable rate is $8 per hour.

To compute: Production volume variance. Given information: January 2014, Budgeted fixed overhead rate is $9 per labor hour. Budgeted quantity of input for actual output is 30,400 hours.

Want to see the full answer?

Chapter 8 Solutions

To compute: Direct materials price variance, based on purchases

Given information:

January 2014,

Actual direct cost is $3.80 per pound.

Budgeted direct cost is $4.00 per pound.

Direct material purchased is 40,300 pounds

To compute: Direct materials efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of direct material used is 37,300 pounds.

Budgeted rate per pound is $4 per pound.

To compute: Direct manufacturing labor price variance.

Given information:

January 2014,

Actual labor is 31,400 hours.

Actual direct cost is $16.25 per hour.

Budgeted direct cost is $16 per hour.

To compute: Direct manufacturing labor efficiency variance.

Given information:

January 2014,

Actual output is 7,600 units.

Budgeted direct material per unit is 5 pounds per unit.

Actual quantity of input hours is 31,400 hours.

Budgeted rate per pound is $16 per hour.

To compute: Variable manufacturing overhead efficiency variance.

Given information:

January 2014,

Actual quantity of input hours is 31,400 hours.

Budgeted quantity of input for actual output is 30,400 hours.

Budgeted variable rate is $8 per hour.

To compute: Production volume variance.

Given information:

January 2014,

Budgeted fixed overhead rate is $9 per labor hour.

Budgeted quantity of input for actual output is 30,400 hours.