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2 Part 2 of 15 Required information The following information applies to the questions displayed below) Preble Company manufactures one product. Its variable manufacturing overhead

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2 Part 2 of 15 Required information 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: 10 points Print Direct material: 5 pounds at $10.00 $ 50.00 per pound Direct labor: 4 hours at $16 per hour 64.00 Variable overhead: 4 hours at $7 per hour 28.00 Total standard variable cost per unit $142.00 The company also established the following cost formulas for its selling expenses: Variable Fixed Cost Cost per per Month Unit Sold Advertising $220,000 Sales salaries and commissions $140,000 $14.00 Shipping expenses $ 5.00 The planning budget for March was based on producing and selling 20,000 units. However, during March the company actually produced and sold 24.600 units and incurred the following costs Purchased 164,000 pounds of raw materials at a cost of $7.50 per pound, All of this material was used in production b. Direct laborers worked 57,000 hours at a rote of $1700 per hour c. Total variable manufacturing overhead for the month was $653.220. d. Total advertising, sales salaries and commissions, and shipping expenses were $235,000, $465,000, and $135,000, respectively 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 fi... zero variance.). Input the amount as a positive value.) Material quently variante F None U 3 Part 3 of 15 Required information 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: 10 points Print Direct material: 5 pounds at $10.00 $50.00 Direct labor: 4 hours at $16 per hour 64.00 Variable overhead: 4 hours at $7 per 28.00 Total standard variable cost per unit $142.00 hour The company also established the following cost formulas for its selling expenses: Variable Fixed Cost Cost per per Month Unit Sold Advertising $220,000 Sales salaries and connissions $140,000 $14.00 Shipping expenses $5.00 The planning budget for March was based on producing and selling 20.000 units. However during March the company actually produced and sold 24,600 units and incurred the following costs: Purchased 164,000 pounds of raw materials at a cost of $2.50 per pound. All of this material was used in production b. Direct laborers worked 57000 hours at a rate of $1700 per hour c. Total variable manufacturing overhead for the month was $653,220 d. Total advertising, sales salaries and commissions, and shipping expenses were $235,000, 5465,000, and $135,000, respectively 3. What is the materiais price variance for March? (Indicate the effect of each variance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect (ie., zero variance.). Input the amount as a positive value) Materials price variance F None U

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