Barley Hopp, Inc , manufactures custom ordered commemorative beer steins Its standard cost information follows Standard Quantity Standard Price (Rate) Standard Unit Cost Direct materials (clay) 1 7 lbs $ 1 80 per lb $ 3 06 Direct labor 1 7 hrs $ 14 per hr 23 80 Variable manufacturing overhead (based on direct labor hours) 1 7 hrs $ 1 1 per hr 1 87 Fixed manufacturing overhead ($456,000 190,000 units) 2 40 Barley Hopp had the following actual results last year Number of units produced and sold 195,000 Number of pounds of clay used 358,200 Cost of clay $ 680,580 Number of labor hours worked 240,000 Direct labor cost $ 4,680,000 Variable overhead cost $ 380,000 Fixed overhead cost $ 430,000 Required 1 Calculate the fixed overhead spending variance for Barley Hopp (Do not round your intermediate calculations Indicate the effect of each variance by selecting F for favorable, U for unfavorable ) Fixed Overhead Spending Variance 2 Calculate the fixed overhead volume variance for Barley Hopp (Do not round your intermediate calculations Indicate the effect of each variance by selecting F for favorable, U for unfavorable ) Fixed Overhead Volume Variance 3 Calculate the total over or underapplied fixed manufacturing overhead for Barley Hopp (Do not round your intermediate calculations )

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Posted on Sep 18, 2024

Barley Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows: Standard Quantity Standard Price (Rate) Standard Unit Cost Direct materials (clay) 1.7

Barley Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows:

	Standard Quantity		Standard Price (Rate)			Standard Unit Cost
Direct materials (clay)	1.7	lbs.	$	1.80	per lb.	$	3.06
Direct labor	1.7	hrs.	$	14	per hr.		23.80
Variable manufacturing overhead (based on direct labor hours)	1.7	hrs.	$	1.1	per hr.		1.87
Fixed manufacturing overhead ($456,000 190,000 units)							2.40

Barley Hopp had the following actual results last year:


Number of units produced and sold		195,000
Number of pounds of clay used		358,200
Cost of clay	$	680,580
Number of labor hours worked		240,000
Direct labor cost	$	4,680,000
Variable overhead cost	$	380,000
Fixed overhead cost	$	430,000

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Required 1. Calculate the fixed overhead spending variance for Barley Hopp. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable.) Fixed Overhead Spending Variance 2. Calculate the fixed overhead volume variance for Barley Hopp. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable,"U" for unfavorable.) Fixed Overhead Volume Variance 3. Calculate the total over-or underapplied fixed manufacturing overhead for Barley Hopp. (Do not round your intermediate calculations.)