Actual Results Patterson Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: Click the icon to view the standards) Actual cost and operatin (Click the icon to vid All manufacturing over Read the requirements Determine the formula for the quantity variance, then compute the quantity variance for direct materials. Purchased 45,400 yards at a total cost of $526,640 Used 41,200 yards in producing 2,000 awnings Actual direct labor cost of $71,024 for a total of 3,860 Actual variable MOH $16,984 Actual fixed MOH $47.500 Requirement 26. Calculate the direct labor variances (Enter the variances as positive numbers. Enter current roro whole dollar Label the variante as favorable (F) or unfavorable (U). Abbreviations used: DL-Direct Find dormine the formula for the rate variance, then compute the role variance for direct boe Print Done De Vance First determine the formula for the efficiency variance, then compute the efficiency variance for direct labor DL efficiency variance Requirement 2c. Calculate the variatie manufacturing overhead variances (Enter the variances as positive numbers Enter currency amounts to the nearest cent and your answers to the nearest whole dolar. Label the variance as favorable (F) or unfavorable (U):) Requirements Patterson Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: Click the icon to view the standards.) Requirement 2c. Calculate the variable manufacturing overhead variances (Enter your answers to the nearest whole dollar. Label the variance as favorable (F) or unfay 1. Calculate the standard cost of one awning 2. Calculate the following variances: a. The direct material variances b. The direct labor variances. c. The variable manufacturing overhead variances. d. The fixed manufacturing overhead variances 3. Explain what each of the variances you calculated means and give at least one possible explanation for each of those variances. Are any of the variances likely to be interrelated? First determine the formula for the rate variance, then compute the rate variance for Print Done Now compute the variable manufacturing overhead efficiency variance. First determin variable manufacturing overhead. Variable overhead efficiency variance x ) = Requirement 2d. Calculate the fixed manufacturing overhead variances. (Enter the variance as a positive number, Label the variance as favorable (F) or unfavorable (U)) Begin by computing the fixed manufacturing overhead budget variance. First determine the formula for the budget variance, then compute the budget variance for fixed Patterson Awning manufactures ownings and uses a standard cost system. The Actual cost and operating data from the most recent month are as follows: company allocates overhead based on the number of direct labor hours. The Click the icon to view the actual results.) following are the company's cost and standards data: Click the icon to view the standards.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements Requirement 2d. Calculate the fixed manufacturing overhead variances. (Enter the variance as a positive number, Label the variance as favorable (F) or unfavorable Begin by computing the fixed manufacturing overhead budget variance. First determine the formula for the budget variance, then compute the budget variance for fixed manufacturing overhead. Fixed MOH budget variance Naw compute the foxed manufacturing overhead volume variance. First determine the formula for the volume variance, then compute the volume variance for fixed manufacturing overhead Fixed MCH volume variance Requirement 3. Explain what each of the variances you calculated means and give at least one possible explanation for each of those variances Nirert materiale Choose from any list or enter any number in the input fields and then continue to the next question Patterson Awning manufactures awnings and uses a standard cost system. The Actual cost and operating data from the most recent month are as follows: company allocates overhead based on the number of direct labor hours. The Click the icon to view the actual results.) following are the company's cost and standards data Click the loon to view the standards.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements Requirement 3. Explain what each of the variances you calculated means and give at least one possible explanation for each of those variances. Direct materials: Possible explanation Variance Meaning DM price OM quantity Direct Labor: Variance Meaning Possible explanation DL rate DL officiency Variable manufacturing overhead: Variance Meaning Possible explanation VOH rate Patterson Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data (Click the icon to view the standards.) Actual cost and operating data from the most recent month are as follows: (Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements VOH rate VOH efficiency Fixed manufacturing overhead: Possible explanation Variance Meaning FOH favorable DL efficiency favorable DM quantity unfavorable DL officiency Are unfavorable DM quantity FOH related? The variance. It is likely that Patterson Awning variance is likely to be related to the This may have resulted in Choose from any list or enter any number in the input fields and then continue to the next question Patterson Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: Click the icon to view the standards.) Actual cost and operating data from the most recent month are as follows: Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements VUHOO VOH officiency Fixed manufacturing overhead: Variance Meaning FOH budget Possible explanation hired less qualified employees at a lower rate hired more qualified employees at a higher rate purchased higher quality materials at a higher price purchased lower quality materials at a lower price d to the variance. It is likely that Patterson Awning This may have resulted in Patterson Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data Click the icon to view the standards.) Actual cost and operating data from the most recent month are as follows: (Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements VOM Pate VOH efficiency Fixed manufacturing overhead: Variance Meaning Possible explanation FOH budget FOH volume an increase in materials needed a reduction in materials needed decreased labor efficiency improved labor efficiency Are any of the variances likely to be interrelated? The son Awning variance is likely to be related to the This may have resulted in
