Find Actual and Budget Amounts from Variances: Columbus Company manufactures a new electronic game with the trademark "Beammo." The current standard costs per game are as follows:

The following data appeared in the Columbus Company records at the end of the past month:

The materials price variance is computed at the time of purchase.

Required:

a. Prepare a schedule like Illustration 19-10 showing the flexible production budget, price and efficiency variances, and actual costs for direct materials and direct labor.

b. Assume that all manufacturing overhead is fixed, and the $500 underapplied is the only overhead variance that can be computed. What are the actual and applied overhead amounts?

Transcribed Image Text:

Direct materials, 6 kilograms at $1 per kilogram Direct labor, 1 hour at $4 per hour Overhead Total costs $ 6 per game 4 per game 3 per game $13 per game