HW QUESTION 7-2

- The Sullivan Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor:

standard :

Direct materials: 10 lb. at $4.90 per lb.	$49.00
Direct manufacturing labor:0.5 hour at $30 per hour	15.00

The number of finished units budgeted for January 2020 was 9,940; 9,900 units were actually produced.

Actual data: Actual results in January 2020 were as follows:

Direct materials: 97,500 lb. used
Direct manufacturing labor: 4,900 hours	$155,575

*NEXT DETERMINE THE FORMULA AND CALCULATE COSTS FOR THE FLEXIBLE BUDGET

The Sullivan Corporation manufactures lamps. It has set up the following Assume that there was no beginning inventory of either direct standards per finished unit for direct materials and direct materials or finished units. During the month, materials purchased manufacturing labor: amounted to 99,400lb., at a total cost of $506,940. Input price (Click the icon to view the standards.) variances are isolated upon purchase. Input-efficiency variances The number of finished units budgeted for January 2020 was 9,940;9,900 are isolated at the time of usage. units were actually produced. Read the requirements. (Click the icon to view actual data.) Next determine the formula and calculate the costs for the flexible budget