Chapter 9, Problem 26E

In Morgan Industries, each unit of finished goods requires 1.5 pounds of direct materials at $3 per pound. In producing 40,000 units, 62,000 pounds of materials are used at $3.20 per pound. What is the materials price variance?

The Aryan Corporation forecasts that total overhead for the current year will be $12,600,000 and total machine hours will be 210,000 hours. However, the actual overhead is $6,400,000 and the actual machine hours are 120,000 hours. If the company uses a predetermined overhead rate based on machine hours for applying overhead, what is predetermined overhead rate? Select one: a) $58 per machine hour b) $60 per machine hour c) $52 per machine hour d) $48 per machine hour

What is the net realizable value of Sean Inc.'s receivable at December 31, 2022?