A 1 Flexible Budgets, Overhead Cost Variances, and Management Control 2 Fixed manufacturing overhead variance analysis 3 The Sourdough Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct- cost categories: direct materials and direct manufacturing labor. The Sourdough Bread Company allocates fixed manufacturing overhead to products on the basis of standard direct manufacturing labor-hours. The following is some 4 budget data for the Sourdough Bread Company for 2017. 4567 Direct manufacturing labor use Fixed manufacturing overhead 0.02 hours per baguette $3.00 per direct manufacturing labor-hour 8 The following is additional information for the Sourdough Bread Company for the year ended December 31, 2017: 9 10 11 12 13 14 Planned (budgeted) output Actual production Budgeted direct manufacturing labor Actual direct manufacturing labor Actual fixed manufacturing overhead 3,100,000 baguettes 2,600,000 baguettes 62,000 hours 46,800 hours $294,000 15 Use the blue shaded areas on the ENTERANSWERS tab for inputs. Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the 16 Instructions tab you will be marked wrong. 17 18 Requirements 19 20 21 22 22 23 24 1 Prepare a variance analysis of fixed manufacturing overhead cost. Use the exhibit that shows the variance analysis of fixed manufacturing overhead cost as a guide. a. b. For variances with a zero amount, leave the box empty; do not select a label or enter a zero. Use the ABS function when calculating variances, and use the drop-down selections for F or U when describing the variances. 2 is fixed overhead underallocated or overallocated? By what amount? a. Use the ABS function when calculating the underallocated or overallocated amount.) 25 Saving & Submitting Solution 26 27 28 1 Save file to desktop. a. Create folder on desktop, and label COMPLETED EXCEL PROJECTS 2 Upload and submit your file to be graded