couldn't copy and paste very well. I have no clue how to figure these out.

Paradigm Toys

Flexible Budget Performance Report

budget actual difference

Production in units 18,000 18,000

Direct labor

Direct labor hours (1 hour/unit) 18,000 18,200 200 (U)

Direct labor costs ($20/hour) $360,000 $354,900 $5,100 (F

Direct Materials

Quantity (.5/unit) 9,000 9,300 300 (U)

Dollars ($20/unit) $360,000 $375,000 $15,000 (U)

Variable costs

Indirect materials 720,000 700,000 20,000(F)

Indirect labor 324,000288,000 36,000(F)

Utilities 198,000 176,000 22,000(F)

Total variable costs 1,242,0001,164,000 78,000(F)

Fixed costs

Depreciation 300,000 300,000 0

Property taxes 50,000 50,000 0

Supervision 120,000120,000 0

Total fixed costs 470,000 470,000 0

Total costs 1,712,000 1,634,000 78,000 (F)

What is an explanation for the change in direct labor costs?

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Paradigm Toys

Flexible Budget Performance Report

budgetactualdifference

Production in units18,00018,000

Direct labor

Direct labor hours (1 hour/unit)18,00018,200 200 (U)

Direct labor costs ($20/hour)$360,000$354,900 $5,100 (F

Direct Materials

Quantity (.5/unit)9,000 9,300300(U)

Dollars ($20/unit)$360,000$375,000 $15,000 (U)

Variable costs

Indirect materials720,000700,00020,000(F)

Indirect labor324,000288,00036,000(F)

Utilities198,000176,000 22,000(F)

Total variable costs1,242,0001,164,00078,000(F)

Fixed costs

Depreciation300,000300,0000

Property taxes50,00050,0000

Supervision120,000120,0000

Total fixed costs470,000470,0000

Total costs1,712,0001,634,00078,000 (F)

What is an explanation for the change direct materials cost?

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Paradigm Toys

Flexible Budget Performance Report

budgetactualdifference

Production in units32,00032,000

Direct labor

Direct labor hours (1 hour/unit)12,00011500 500 (F)

Direct labor costs ($25/hour)$180,000$168,000 $12,000(F

Direct Materials

Quantity (2/unit)24000,23200800(f)

Dollars ($30/unit)$360,000$358,000$2,000 (f)

Variable costs

Indirect materials180,000215,00035,000(u)

Indirect labor119,000109,00010,000(F)

Utilities147,000151,0004,000(u)

Total variable costs446,000475,000 29,000(u)

Fixed costs

Depreciation80,000 80,0000

Property taxes10,00010,0000

Supervision160,000160,0000

Total fixed costs250,000250,0000

Total costs1,235,0001,251,00015,000

What is an explanation for the change in direct labor variance?