Question
A company has the following information for Job Alpha during the month of July: The company applies manufacturing overhead to jobs based on direct labor
A company has the following information for Job Alpha during the month of July:
The company applies manufacturing overhead to jobs based on direct labor hours.
Additional information for the company in the month of July is as follows:
1. Calculate the materials price variance for Job Alpha:
2. Calculate the materials efficiency variance for Job Alpha:
3. Calculate the labor rate variance for Job Alpha:
4. Calculate the labor efficiency variance for Job Alpha:
5. Calculate the variable overhead spending variance for Job Alpha:
6. Calculate the variable overhead efficiency variance for Job Alpha:
7. Calculate the fixed overhead spending variance for Job Alpha
8. If the company is using a standard costing system, what is the companys overall fixed overhead volume variance:
Units produced 5C0 Actual materials used 2,600 lbs. $525 per lb. Actual materials cost Actual labor hours inared 1,480 $ 19.00 perhour $ 10,500 Actual laborrate Work in prucess, July1 Work in process, July 31 Total estimated labor hours 30,0EO Standard materials perunit 5.5 lbs. $ 5.50 per lb. Standard materials cost Standard labor hours perunit 3 hors $ 1850 perhour Standard laborrate Standard variable overhead perunit $600 Standard fixed overhead perunit $ 400 based on 30,CCO labor hrs Actual total output in units 9,600 Actual total labor hours 28,0EO Actual variable overhead perunit $610 Actual total fixed overthead $122,500Step by Step Solution
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