Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

a) Calculate the quantity of material purchased. b) Calculate the quantity of material used. c) Calculate the actual direct labour hours worked. d) Calculate the

a) Calculate the quantity of material purchased.

b) Calculate the quantity of material used.

c) Calculate the actual direct labour hours worked.

d) Calculate the labour efficiency variance.

e) Calculate the variable overhead efficiency variance.

f) Calculate the actual variable overhead.

g) Calculate the fixed overhead budget variance.

e) Calculate the fixed overhead production volume variance.

image text in transcribed
You have been given the following information about ALG Co. Led., which uses a standard cost system in accounting for its one product: 1. In the month of November 2020, 4,650 units were produced. 2. The annual overhead budget includes $724,500 for variable and $1,014,300 for fixed overhead items. Budgeted production for the year is 48,300 units. Overhead is applied based on direct labour hours. 3. The materials standard per unit is 20 litres at $1 per litre. 4. The direct labour standard per unit is 3 hours at $9.00. 5. The actual price paid for material was $0.99. 6. The actual direct labour rate was $9.50. 7. Actual fixed overhead costs totalled $88,200. 8. The following variances have already been calculated: Materials price 700 F Materials quantity 1,690 U Labour rate 6,930 U Variable overhead spending 1,910 U

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial and Managerial Accounting the basis for business decisions

Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello

18th edition

125969240X, 978-1259692406

Students also viewed these Accounting questions

Question

What does stickiest refer to in regard to social media

Answered: 1 week ago