Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hi I've been having trouble with this problem from my homework was wondering if someone could help and the two options they give are favourable

Hi I've been having trouble with this problem from my homework was wondering if someone could help and the two options they give are favourable and unfavourable.

image text in transcribedimage text in transcribedimage text in transcribed
Question 5 You have been given the following information about ALG Co. Ltd., which uses a standard cost system in accounting for its one product: 1. In the month of November 2020, 4,410 units were produced. 2. The annual overhead budget includes $745,500 for variable and $1,043,700 for fixed overhead items. Budgeted production for the year is 49,700 units. Overhead is applied based on direct labour hours. 3. The materials standard per unit is 20 litres at $1 per litre. 4. The direct labour standard per unit is 3 hours at $9.00. 5. The actual price paid for material was $0.98. 6. The actual direct labour rate was $9.50. 7. Actual fixed overhead costs totalled $88,200. 8. The following variances have already been calculated: Materials price 700 F Materials quantity 1,630 U Labour rate 6,490 U Variable overhead spending 1,930 U Calculate the quantity of material purchased. Quantity of material purchased litresCalculate the quantity of material used. Quantity of material used litres Calculate the actual direct labour hours worked. Actual hours worked hours Calculate the labour efficiency variance. Labour efficiency variance Calculate the variable overhead efficiency variance. Variable overhead efficiency variance Calculate the actual variable overhead. Actual variable overheadCalculate the fixed overhead budget variance. Fixed overhead budget variance $ Calculate the fixed overhead production volume variance. Fixed overhead volume variance

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Integrated Accounting For Windows

Authors: Dale Klooster

7th Edition

0538747978, 9780538747974

More Books

Students also viewed these Accounting questions