Gmail Saved ter 8 Homework 12 James Corp. applies overhead on the basis of direct labor hours. For the month of May, the company planned production of 10,000 units (80% of its production capacity of 12,500 units) and prepared the following overhead budget: Operating Levels 808 10,000 28,000 Skipped Overhead Budget Production in units Standard direct labor hours Budgeted overhead Variable overhead costs Indirect materials Indirect labor Power Maintenance Total variable costs Fixed overhead costs Rent of factory building Depreciation Machinery Supervisory salaries Total fixed costs Total overhead costs $ 15,400 28,000 7.000 5,600 56,000 eBook 24,000 10,900 15,500 50,400 $106,400 Hint Print During May, the company operated at 90% capacity (11.250 units) and incurred the following actual overhead costs: Overhead costs (actual) Indirect materials $ 15,400 Indirect labor 30,950 Power 7.875 Maintenance 6,940 Rent of factory building 24,000 Depreciation Machinery 10,900 Supervisory salaries 19.000 Total actual overhead costs $115,065 1. Compute the overhead controllable variance and classify it as favorable unfavorable. 2. Compute the overhead volume variance and classify it as favorable or unfavorable. 3. Prepare an overhead variance report at the actual activity level of 11,250 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the overhead controllable variance and classify it as favorable or unfavorable. (Indicate the effect of each variance 12 During May, the company operated at 90% capacity (11,250 units) and incurred the following actual overhead costs: 3 points Overhead costs (actual) Indirect materials Indirect labor Power Maintenance Rent of factory building Depreciation Machinery Supervisory salaries Total actual overhead costs $ 15,400 30,950 7.875 6,940 24,000 10,900 19,000 $115,065 Skipped eBook 1. Compute the overhead controllable variance and classify it as favorable or unfavorable. 2. Compute the overhead volume variance and classify it as favorable or unfavorable. 3. Prepare an overhead variance report at the actual activity level of 11,250 units. Hint Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 Required 3 Compute the overhead controllable variance and classify it as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance.) Controllable variance Total actual overhead Flexible budget overhead Total Overhead controllable variance 12 During May, the company operated at 90% capacity (11,250 units) and incurred the following actual overhead Overhead costs (actual) Indirect materials Indirect labor Power Maintenance Rent of factory building Depreciation Machinery Supervisory salaries Total actual overhead costs oints $ 15,400 30,950 7,875 6,940 24,000 10,900 19,000 $115,065 Skipped eBook 1. Compute the overhead controllable variance and classify it as favorable or unfavorable. 2. Compute the overhead volume variance and classify it as favorable or unfavorable. 3. Prepare an overhead variance report at the actual activity level of 11,250 units. Hint Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 Required 3 Compute the overhead volume variance and classify it as favorable or unfavorable. (Indicate the effect of each var selecting for favorable, unfavorable, and no variance. Do not round intermediate calculations.) Volume Variance Volume variance
