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Genie in a Bottle Company ( GBC ) manufactures plastic two - liter bottles for the beverage industry. The cost standards per 1 0 0
Genie in a Bottle Company GBC manufactures plastic twoliter bottles for the beverage industry. The cost standards per twoliter bottles are as follows:
Cost Category Standard Cost
per TwoLiter
Bottles
Direct labor $
Direct materials
Factory overhead
Total $
At the beginning of July, GBC management planned to produce bottles. The actual number of bottles produced for July was bottles. The actual costs for July of the current year were as follows:
Cost Category Actual Cost for the
Month Ended July
Direct labor $
Direct materials
Factory overhead
Total $
Enter all amounts as positive numbers.
Question Content Area
a Prepare the July manufacturing standard cost budget direct labor, direct materials, and factory overhead for WBC assuming planned production.
Genie in a Bottle Company
Manufacturing Cost Budget
For the Month Ended July
Standard Cost at
Planned Volume
Bottles
Manufacturing costs:
Direct labor $fill in the blank bcfffab
Direct materials fill in the blank bcfffab
Factory overhead fill in the blank bcfffab
Total $fill in the blank bcfffab
Question Content Area
b Prepare a budget performance report for manufacturing costs, showing the total cost variances for direct materials, direct labor, and factory overhead for July. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Round your answers to two decimal places.
Genie in a Bottle Company
Manufacturing CostsBudget Performance Report
For the Month Ended July
Actual
Costs Standard Cost
at Actual
Volume
Bottles Cost
Variance
Favorable
Unfavorable
Manufacturing costs:
Direct labor $fill in the blank aaefdafc
$fill in the blank aaefdafc
$fill in the blank aaefdafc
Direct materials fill in the blank aaefdafc
fill in the blank aaefdafc
fill in the blank aaefdafc
Factory overhead fill in the blank aaefdafc
fill in the blank aaefdafc
fill in the blank aaefdafc
Total manufacturing cost $fill in the blank aaefdafc
$fill in the blank aaefdafc
$fill in the blank aaefdafc
Question Content Area
c The Company's actual costs were
than budgeted.
direct labor and direct material cost variances more than offset a small
factory overhead cost variance.
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