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Domose Inc. planned to use $157 of material per unit but actually used $146 of material per unit, and planned to make 1180 units but
Domose Inc. planned to use $157 of material per unit but actually used $146 of material per unit, and planned to make 1180 units but actually made 990 units. The flexible-budget variance for materials is $10,890 unfavorable $10,890 favorable $12,980 favorable $12,980 unfavorable Lukehart Industries, Inc, produces air purifiers. Lukehart, Inc., produces the air purifiers in batches. To manufacture a batch of the purifiers, Lukehart, Inc. must set up the machines and assembly line tooling Setup costs are batch-level costs because they are associated with batches rather than individual units of products. A separate Setup Department is responsible for setting up machines and tooling for different models of the air purifiers. Setup overhead costs consist of some costs that are variable and some costs that are fixed with respect to the number of setup-hours. The following information pertains to June 2015: Budget Actual Amount Amon Units produced and sold 14,300 13,000 Batch size (number of units per batch) 430 405 Setup-hours per batch 9 775 Variable overhead cost per setup-hour $51 $54 Total fixed setup overhead coats $38,610 $38,360 Calculate the spending variance for variable overhead setup costs. $1190 unfavorable $746 unfavorable $746 favorable $1190 favorable Bovous Stores, Inc., sells several products. Information of average revenue and costs is as follows: Selling price per urat $22 Variable costs per unit: Direct material $5 Direct manufacturing labor $200 Manufacturing overhead $05 Selling costs $2 Annual fixed costs $96,000 What is the contribution margin percentage? 4796 5296 5796 66%
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