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Check my work [The following information applies to the questions displayed below] Preble Company manufactures one product. Its variable manufacturing overhead is applied to
Check my work [The following information applies to the questions displayed below] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct material: 4 pounds at $8.00 per pound Direct labor: 2 hours at $16 per hour Variable overhead: 2 hours at $6 per hour $32.00 32.00 12.00 $ 76.00 Total standard variable cost per unit The company also established the following cost formulas for its selling expenses: Advertising Sales salaries and commissions Shipping expenses Fixed Cost per Month $ 320,000 $340,000 Variable Cost per Unit Sold $24.00 $ 15.00 The planning budget for March was based on producing and selling 32,000 units. However, during March the company actually produced and sold 37,000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $7.40 per pound. All of this material was used in production. b. Direct-laborers worked 67,000 hours at a rate of $17.00 per hour. c. Total variable manufacturing overhead for the month was $422,100. d. Total advertising, sales salaries and commissions, and shipping expenses were $329,000, $515,000, and $235,000, respectively.
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