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Belmont Company uses a standard cost system for manufacturing its single product, called Zoom. Company assigns factory overhead cost using predetermined overhead rates based on
Belmont Company uses a standard cost system for manufacturing its single product, called Zoom. Company assigns factory overhead cost using predetermined overhead rates based on machine hours. The following data are available for current year: Standards per unit of product for planned production of 30,000 units: Budgeted machine hours 66,000 hours Raw materials 4.40 pounds at $10.20 per pound Direct labor 1.4 hours at $13.50 per hour Variable overhead 2 MH at $5.40 per machine hour Fixed overhead 2 MH at $6.00 per machine hour Budgeted fixed overhead $396,000 Actual results for the current year: -Produced 32,800 Units -Purchased 150,000 pounds of raw materials at $10.50 per pound - Used 137,760 pounds of raw materials for production of 32,800 units - Used 42,640 hours of direct labor for $579,904 - Used 65,600 hours of machine for production -Actual variable overhead cost was $360,800 -Actual fixed overhead cost was $385,000 OF 0 Compute: @ Variable over head amount in flexible budget O Standard cost for production of each unit zoom Standard Quantity of direct labor hours allowed for actual output (SQA) Flexible budget direct labor hours @ Number of machine hours that was expected to be used for the production of 32, 800 units
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