1-Factory Overhead Cost Variances

Thomas Textiles Corporation began November with a budget for 21,000 hours of production in the Weaving Department. The department has a full capacity of 28,000 hours under normal business conditions. The budgeted overhead at the planned volumes at the beginning of November was as follows:

Variable overhead	$44,100
Fixed overhead	30,800
Total	$74,900

The actual factory overhead was $75,800 for November. The actual fixed factory overhead was as budgeted. During November, the Weaving Department had standardhours at actual production volume of 22,000 hours.

Determine the variable factory overhead controllable variance and the fixed factory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Round your interim computations to the nearest cent, if required.

2-Recording Standards in Accounts

Cioffi Manufacturing Company incorporates standards in its accounts and identifies variances at the time the manufacturing costs are incurred. Journalize the entries to record the following transactions:

a. Purchased 2,450 units of copper tubing on account at $52.00 per unit. The standard price is $48.50 per unit. If an amount box does not require an entry, leave it blank.

b. Used 1,900 units of copper tubing in the process of manufacturing 200 air conditioners. Ten units of copper tubing are required, at standard, to produce one air conditioner. If an amount box does not require an entry, leave it blank.

Factory Overhead Cost Variances Thomas Textiles Corporation began November with a budget for 21,000 hours of production in the Weaving Department. The department has a full capacity of 28,000 hours under normal business conditions. The budgeted overhead at the planned volumes at the beginning of November was as follows: Variable overhead $44,100 Fixed overhead 30,800 Total $74,900 The actual factory overhead was $75,800 for November. The actual fixed factory overhead was as budgeted. During November, the Weaving Department had standard hours at actual production volume of 22,000 hours. Determine the variable factory overhead controllable variance and the fixed factory overhead volume variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Round your interim computations to the nearest cent, if required. a. Variable factory overhead controllable variance: $ Favorable b. Fixed factory overhead volume variance: $ Unfavorable Recording Standards in Accounts Cioffi Manufacturing Company incorporates standards in its accounts and identifies variances at the time the manufacturing costs are incurred. Journalize the entries to record the following transactions: a. Purchased 2,450 units of copper tubing on account at $52.00 per unit. The standard price is $48.50 per unit. If an amount box does not require an entry, leave it blank. a. Materials Direct Materials Price Variance Accounts Payable Feedback b. Used 1,900 units of copper tubing in the process of manufacturing 200 air conditioners. Ten units of copper tubing are required, at standard, to produce one air conditioner. If an amount box does not require an entry, leave it blank. b. Work in Process Direct Materials Quantity Variance Materials