Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Check my work 7 Frank Weston, supervisor of the Freemont Corporation's Machining Department, was wsibly upset antor being reprimanded for his department's poor performance over

image text in transcribed
Check my work 7 Frank Weston, supervisor of the Freemont Corporation's Machining Department, was wsibly upset antor being reprimanded for his department's poor performance over the prior month. The department's cost control report is given below 10 Front Corporation Machining Department cont control Report For the Month Inded une 30 Actual Pang Heute Budget Vario Machin-hours 42.000 40.000 Direct labor 5 07.000 184,400 52.600 fupplies 27.300 24.300 2.500 Hinta 26,400 22.500 1.900 Dritt 23.100 21.100 1,000 Supervision 53,000 53,000 0 Depreciation 21.000 91,000 0 Total 5104,100 $296.800 $8.000 Terences "I just can't understand all of these unfavorable variances. Weston complained to the supervisor of another department. When the boss called me in, I thought he was going to give me a pat on the back because I know for a fact that my department worked more efficiently lost month than it has ever worked before. Instead, he fore me apart. I thought for a minute that it might be over the supplies that were stolen out of our warehouse last month. But they only amounted to a couple of hundred dollars, and just look at this report Everything is unfavorable Direct labor wages and supplies are variable costs, supervision and depreciation are fixed costs and maintenance and utilities are mixed costs. The fixed.component of the budgeted maintenance cost is $16,900; the fixed component of the budgeted utilities cost is $14,000 Required: 3. Complete the performance report that will help Mt. Weston's superiors ossess how well costs were controlled in the machining department (Round your intermediate calculations to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable. "U" for unfavorable, and "None" for no effect (l.o., zero variance). Input all amounts as positive values.) Freemont Corporation --Machining Department Flexible Budget Performance Report For the Month Ended June 30 Actual Flexible Planning Results Budget Budget Machine hours 42.000 40.000 Direct laborwagen Supplies $ $87.000 27.300 84400 24.800 MC Graw

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

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

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

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

Mastering Accounting Skills

Authors: Margaret Nicholson

3rd Edition

1403992703, 978-1403992703

More Books

Students also viewed these Accounting questions