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I just asked this question and this part was completly wrong, need the right answers You have just been hired by FAB Corporation, the manufacturer
I just asked this question and this part was completly wrong, need the right answers
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March Utilities Maintenance Supplies Indirect labor Depreciation Cost Formula $16,908 + $0.13 per machine-hour $38,508 + $1.99 per machine-hour $0.70 per machine-hour 594,108 + $1.70 per machine-hour $68,3ee Actual Cost in March $ 22,910 $ 64,689 $ 11,700 $ 123,990 $ 70,000 During March, the company worked 15,000 machine-hours and produced 9.000 units. The company had originally planned to work 17.000 machine-hours during March Required: 1. Prepare a flexible budget for March 2 Prepare a report showing the spending variances for March. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a report showing the spending variances for March. (Indicate the effect of each variance by selecting "F" for favorable. "U for unfavorable and "None" for no effect (ie, zero varience). Input all amounts as positive values.) FAB Corporation Spending Variances For the Month Ended March 31 Utilities TU Maintenance F Supplies TU Indirect labor TU Depreciation tu Total UStep by Step Solution
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