Answered step by step
Verified Expert Solution
Question
1 Approved Answer
13 part question URGENT Required information The Foundational 15 (Algo) (L09-1, LO9-2, LO9-4, LO9-5, LO9-6) [The following information applies to the questions displayed below.) Preble
13 part question
Required information The Foundational 15 (Algo) (L09-1, LO9-2, LO9-4, LO9-5, LO9-6) [The following information applies to the questions displayed below.) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct material: 4 pounds at $8.00 per pound Direct labor: 2 hours at $16 per hour 32.00 Variable overhead: 2 hours at $6 per hour Total standard variable cost per unit $ 76.00 The company also established the following cost formulas for its selling expenses: $ 32.00 12.00 Variable Fixed cost Cost per per Month Unit Bold Advertising $ 320,000 sales salaries and commissions $ 340,000 24.00 Shipping expenses $ 15.00 The planning budget for March was based on producing and selling 32,000 units. However, during March the company actually produced and sold 37,000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $7.40 per pound. All of this material was used in production b. Direct-laborers worked 67000 hours at a rate of $17.00 per hour. c. Total variable manufacturing overhead for the month was $422,100. d. Total advertising, sales salaries and commissions, and shipping expenses were $329,000, $515,000, and $235,000, respectively. Foundational 9-1 (Algo) Required: 1. What raw materials cost would be included in the company's flexible budget for March? Raw material cost Foundational 9-2 (Algo) 2. What is the materials quantity variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive value.) Materials quality variance Foundational 9-3 (Algo) 3. What is the materials price variance for March? (Indicate the effect of each variance by selecting "F* for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance.). Input the amount as a positive value.) Materials price variance Foundational 9-6 (Algo) 6. What direct labor cost would be included in the company's flexible budget for March? Dited labor con Foundational 9-7 (Algo) 7. What is the direct labor efficiency variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance.). Input the amount as a positive value.) Direct laboralliciency variance Foundational 9-8 (Algo) 8. What is the direct labor rate variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input the amount as a positive value.) Direct labot rate variance Foundational 9-9 (Algo) 9. What variable manufacturing overhead cost would be included in the company's flexible budget for March? Variable manufacturing overhead cost Foundational 9-10 (Algo) 10. What is the variable overhead efficiency variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e, zero variance.). Input the amount as a positive value.) Variable overhead efficiency variance Foundational 9-11 (Algo) 11. What is the variable overhead rate variance for March? (Indicate the effect of each variance by selecting "f" for favorable, "U" for unfavorable, and "None" for no effect (i.e, zero variance.). Input the amount as a positive value.) Vable ovat tot Varance Foundational 9-12 (Algo) 12. What amounts of advertising, sales salaries and commissions, and shipping expenses would be included in the company's flexible budget for March? Advertising Sales salaries and commissions Shipping experts Foundational 9-13 (Algo) 13. What is the spending variance related to advertising? (Indicate the effect of each variance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect (le., zero variance.). Input the amount as a positive value.) Bonding called to Foundational 9-14 (Algo) 14. What is the spending variance related to sales salaries and commissions? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ie, zero variance.). Input the amount as a positive value.) Spending variance related to sales salaries and commissions Foundational 9-15 (Algo) 15. What is the spending variance related to shipping expenses? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ie, zero variance.). Input the amount as a positive value.) Spending variance related to shipping expenses URGENT
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started