Consider the following two situations Cases A and B independently Data refer to operations for April 2014 For each situation, assume standard costing Also assume the use of a flexible budget for control of variable and fixed manufacturing over based on machine hours Case A Case B (1) Fixed manufacturing overhead incurred $ 84,920 $ 23,180 (2) Variable manufacturing overhead incurred $ 120,400 (3) Denominator level in machine hours 1,000 (4) Fixed Manufacturing overhead (per standard machine hour) 6,200 Flexible Budget Data (6) Variable manufacturing overhead (per standard machine hour) $ 42 (7) Budgeted fixed manufacturing overhead $ 88,200 $ 20,000 (8) Budgeted variable manufacturing overhead (9) Total budgeted manufacturing overhead Additional Data (10) Standard variable manufacturing overhead allocated $ 124,000 (11) Standard fixed manufacturing overhead allocated $ 86,800 (12) Production volume variance $ 4,000 F (13) Variable manufacturing overhead spending variance $ 5,000 F $ 2,282 F (14) Variable manufacturing overhead efficiency variance $ 2,478 F (15) Fixed manufacturing overhead spending variance (16) Actual Machine hours used

Question

Consider the following two situations    Cases A and B    independently  Data refer to operations for April 2014  For each situation, assume standard costing  Also assume the use of a flexible budget for control of variable and fixed manufacturing over based on machine hours  Case A Case B (1) Fixed manufacturing overhead incurred $ 84,920 $ 23,180 (2) Variable manufacturing overhead incurred $ 120,400 (3) Denominator level in machine hours 1,000 (4) Fixed Manufacturing overhead (per standard machine hour) 6,200 Flexible Budget Data (6) Variable manufacturing overhead (per standard machine hour) $ 42 (7) Budgeted fixed manufacturing overhead $ 88,200 $ 20,000 (8) Budgeted variable manufacturing overhead (9) Total budgeted manufacturing overhead Additional Data (10) Standard variable manufacturing overhead allocated $ 124,000 (11) Standard fixed manufacturing overhead allocated $ 86,800 (12) Production volume variance $ 4,000 F (13) Variable manufacturing overhead spending variance $ 5,000 F $ 2,282 F (14) Variable manufacturing overhead efficiency variance $ 2,478 F (15) Fixed manufacturing overhead spending variance     (16) Actual Machine hours used

Accepted Answer

The Answer is in the image, click to view ...

Question

Consider the following two situations -- Cases A and B -- independently. Data refer to operations for April 2014. For each situation, assume standard costing.

Step by Step Solution

Step: 1

Get Instant Access to Expert-Tailored Solutions

Step: 2

Step: 3

Ace Your Homework with AI

Recommended Textbook for

Audit In A Democracy The Australian Model Of Public Sector Audit And Its Application To Emerging Markets

Students also viewed these Accounting questions

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

	Case A		Case B
(1) Fixed manufacturing overhead incurred	$ 84,920		$ 23,180
(2) Variable manufacturing overhead incurred	$ 120,400
(3) Denominator level in machine-hours			1,000
(4) Fixed Manufacturing overhead (per standard machine-hour)	6,200
Flexible-Budget Data
(6) Variable manufacturing overhead (per standard machine-hour)			$ 42
(7) Budgeted fixed manufacturing overhead	$ 88,200		$ 20,000
(8) Budgeted variable manufacturing overhead
(9) Total budgeted manufacturing overhead
Additional Data
(10) Standard variable manufacturing overhead allocated	$ 124,000
(11) Standard fixed manufacturing overhead allocated	$ 86,800
(12) Production-volume variance			$ 4,000	F
(13) Variable manufacturing overhead spending variance	$ 5,000	F	$ 2,282	F
(14) Variable manufacturing overhead efficiency variance			$ 2,478	F
(15) Fixed manufacturing overhead spending variance	-		-
(16) Actual Machine-hours used