| . | Compute the cost and efficiency variances for direct materials and direct labor. |
| 2. | Journalize the purchase and usage of direct materials and the assignment of direct labor, including the related variances. |
| 3. | For manufacturing overhead, compute the variable overhead cost and efficiency variances and the fixed overhead cost and volume variances. |
| 4. | Journalize the actual manufacturing overhead and the allocated manufacturing overhead. Journalize the movement of all production costs from Work-in-Process Inventory. Journalize the adjusting of the Manufacturing Overhead account. |
| 5. | JudaJuda intentionally hired more highly skilled workers during JulyJuly. How did this decision affect the cost variances? Overall, was the decision wise?   |
P23-28A (similar to) Question Help Juda manufactures coffee mugs that it sells to other companies for customizing with their own logos. Juda prepares flexible budgets and uses a standard cost system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of 59,700 coffee mugs per month: E: (Click the icon to view the cost data.) Actual cost and production information for July 2018 follows: Click the icon to view actual cost and production information.) Read the requirements. Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbreviations used: AC = actual cost; AQ = actual quantity; FOH = fixed overhead; SC = standard cost; SQ = standard quantity.) Formula Variance = Direct materials cost variance Direct labor cost variance P23-28A (similar to) Question Help Juda manufactures coffee mugs that it sells to other companies for customizing with their own logos. Juda prepares flexible budgets and uses a standard cost system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of 59,700 coffee mugs per month: (Click the icon to view the cost data.) Actual cost and production information for July 2018 follows: (Click the icon to view actual cost and production information.) Read the requirements. Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbreviations used: AC = actual cost; AQ = actual quantity; FOH = fixed overhead; SC = standard cost; SQ = standard quantity.) Formula Variance More Info Direct materials cost variance = Direct labor cost variance i Data Table a. There were no beginning or ending inventory balances. All expenditures were on account b. Actual production and sales were 62,400 coffee mugs. c. Actual direct materials usage was 10,000 lbs. at an actual cost of $0.17 per lb. d. Actual direct labor usage was 203,000 minutes at a total cost of $24,360. e. Actual overhead cost was $8,120 variable and $32,380 fixed. f. Selling and administrative costs were $123,000. $ 0.05 0.30 Print Done Direct Materials ( 0.2 lbs @ $ 0.25 per lb) Direct Labor ( 3 minutes @ $ 0.10 per minute) Manufacturing Overhead: Variable (3 minutes @ $ 0.06 per minute) $ Fixed (3 minutes @ $ 0.15 per minute) - 0.18 0.45 0.63 0.98 $ Total Cost per Coffee Mug Print Done Choos P23-28A (similar to) Question Help Juda manufactures coffee mugs that it sells to other companies for customizing with their own logos. Juda prepares flexible budgets and uses a standard cost system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of 59,700 coffee mugs per mon (Click the icon to view the cost data.) Actual cost and production information for July 2018 follows: A (Click the icon to view actual cost and production information.) Read the requirements. Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. i Requirements = actual cost; AQ = Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, actual quantity; FOH = fixed overhead; SC = standard cost; SQ = standard quantity.) Formula Variance = Direct materials cost variance Direct labor cost variance 1. Compute the cost and efficiency variances for direct materials and direct labor. 2. Journalize the purchase and usage of direct materials and the assignment of direct labor, including the related variances. 3. For manufacturing overhead, compute the variable overhead cost and efficiency variances and the fixed overhead cost and volume variances. 4. Journalize the actual manufacturing overhead and the allocated manufacturing overhead. Journalize the movement of all production costs from Work-in-Process Inventory. Journalize the adjusting of the Manufacturing Overhead account. 5. Juda intentionally hired more highly skilled workers during July. How did this decision affect the cost variances? Overall, was the decision wise? A Data Table $ 0.05 0.30 Print Print Direct Materials ( 0.2 lbs @ $ 0.25 per lb) Direct Labor ( 3 minutes @ $ 0.10 per minute) Manufacturing Overhead: Variable ( 3 minutes @ $ 0.06 per minute) $ Fixed (3 minutes @ $ 0.15 per minute) Done Done] 0.18 0.45 0.63 $ 0.98 Total Cost per Coffee Mug Print Done Choos P23-28A (similar to) Question Help Juda manufactures coffee mugs that it sells to other companies for customizing with their own logos. Juda prepares flexible budgets and uses a standard cost system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of 59,700 coffee mugs per month: E: (Click the icon to view the cost data.) Actual cost and production information for July 2018 follows: Click the icon to view actual cost and production information.) Read the requirements. Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbreviations used: AC = actual cost; AQ = actual quantity; FOH = fixed overhead; SC = standard cost; SQ = standard quantity.) Formula Variance = Direct materials cost variance Direct labor cost variance P23-28A (similar to) Question Help Juda manufactures coffee mugs that it sells to other companies for customizing with their own logos. Juda prepares flexible budgets and uses a standard cost system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of 59,700 coffee mugs per month: (Click the icon to view the cost data.) Actual cost and production information for July 2018 follows: (Click the icon to view actual cost and production information.) Read the requirements. Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbreviations used: AC = actual cost; AQ = actual quantity; FOH = fixed overhead; SC = standard cost; SQ = standard quantity.) Formula Variance More Info Direct materials cost variance = Direct labor cost variance i Data Table a. There were no beginning or ending inventory balances. All expenditures were on account b. Actual production and sales were 62,400 coffee mugs. c. Actual direct materials usage was 10,000 lbs. at an actual cost of $0.17 per lb. d. Actual direct labor usage was 203,000 minutes at a total cost of $24,360. e. Actual overhead cost was $8,120 variable and $32,380 fixed. f. Selling and administrative costs were $123,000. $ 0.05 0.30 Print Done Direct Materials ( 0.2 lbs @ $ 0.25 per lb) Direct Labor ( 3 minutes @ $ 0.10 per minute) Manufacturing Overhead: Variable (3 minutes @ $ 0.06 per minute) $ Fixed (3 minutes @ $ 0.15 per minute) - 0.18 0.45 0.63 0.98 $ Total Cost per Coffee Mug Print Done Choos P23-28A (similar to) Question Help Juda manufactures coffee mugs that it sells to other companies for customizing with their own logos. Juda prepares flexible budgets and uses a standard cost system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of 59,700 coffee mugs per mon (Click the icon to view the cost data.) Actual cost and production information for July 2018 follows: A (Click the icon to view actual cost and production information.) Read the requirements. Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. i Requirements = actual cost; AQ = Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, actual quantity; FOH = fixed overhead; SC = standard cost; SQ = standard quantity.) Formula Variance = Direct materials cost variance Direct labor cost variance 1. Compute the cost and efficiency variances for direct materials and direct labor. 2. Journalize the purchase and usage of direct materials and the assignment of direct labor, including the related variances. 3. For manufacturing overhead, compute the variable overhead cost and efficiency variances and the fixed overhead cost and volume variances. 4. Journalize the actual manufacturing overhead and the allocated manufacturing overhead. Journalize the movement of all production costs from Work-in-Process Inventory. Journalize the adjusting of the Manufacturing Overhead account. 5. Juda intentionally hired more highly skilled workers during July. How did this decision affect the cost variances? Overall, was the decision wise? A Data Table $ 0.05 0.30 Print Print Direct Materials ( 0.2 lbs @ $ 0.25 per lb) Direct Labor ( 3 minutes @ $ 0.10 per minute) Manufacturing Overhead: Variable ( 3 minutes @ $ 0.06 per minute) $ Fixed (3 minutes @ $ 0.15 per minute) Done Done] 0.18 0.45 0.63 $ 0.98 Total Cost per Coffee Mug Print Done Choos
