Efficiency variance and flexible- budget variance for March 2014. Given information: March 2014, Actual quantity of input hours is 15,000 hours. Budgeted quantity of input for actual output is 14,850 hours Budgeted overhead rate is $6 per hour. Spending variance is $500 (U). Efficiency variance as computed is $900 (U).

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Answer 1

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Definition Definition Measure used to estimate the difference between the budgeted and annual proportion for a specific accounting year. A favorable budget variance refers to positive variances or gains, while unfavorable or negative variances refer to a shortfall in the budget. A budget variance is indicative of the instances where the actual costs incurred are higher or lower than the estimated costs.

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

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Answer 2

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Definition Definition Measure used to estimate the difference between the budgeted and annual proportion for a specific accounting year. A favorable budget variance refers to positive variances or gains, while unfavorable or negative variances refer to a shortfall in the budget. A budget variance is indicative of the instances where the actual costs incurred are higher or lower than the estimated costs.

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Definition Definition Measure used to estimate the difference between the budgeted and annual proportion for a specific accounting year. A favorable budget variance refers to positive variances or gains, while unfavorable or negative variances refer to a shortfall in the budget. A budget variance is indicative of the instances where the actual costs incurred are higher or lower than the estimated costs.

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 4

Question

Definition Definition Measure used to estimate the difference between the budgeted and annual proportion for a specific accounting year. A favorable budget variance refers to positive variances or gains, while unfavorable or negative variances refer to a shortfall in the budget. A budget variance is indicative of the instances where the actual costs incurred are higher or lower than the estimated costs.

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 5

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

Answer 6

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

Answer 7

Chapter 8, Problem 8.41P

1.

To determine

To compute: Efficiency variance and flexible-budget variance for March 2014.

Given information:

March 2014,

Actual quantity of input hours is 15,000 hours.

Budgeted quantity of input for actual output is 14,850 hours

Budgeted overhead rate is $6 per hour.

Spending variance is $500 (U).

Efficiency variance as computed is $900 (U).

Answer 8

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

Answer 9

2.

To determine

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.

Answer 10

Expert Solution & Answer

Answer 11

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Answer 12

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Answer 13

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To compute: Production-volume and flexible-budget variances. Given information: Spending variance is $500. Total budgeted variable overhead cost is $108,000.

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Chapter 8 Solutions

To compute: Production-volume and flexible-budget variances.

Given information:

Spending variance is $500.

Total budgeted variable overhead cost is $108,000.