Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help with part D. Metlock Industries produces a cleaning product that works for the peskiest stains. It's pricey but less expensive than hiring

image text in transcribed

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

I need help with part D.

Metlock Industries produces a cleaning product that works for the peskiest stains. It's pricey but less expensive than hiring a professional cleaning service. The managers at Metlock are conducting variance analysis at the end of January, the first month of the new fiscal year. Budgeted fixed-MOH costs for the year were $2,361,600. The company's standards for one gallon of cleaning solution are as follows, along with actual information for the month. Actual results for January: 24,000 gallons were actually produced. Cost of DM purchased was $222,750 for 13,500 gallons of solution. DM used in production was 11,760 gallons. Cost of DL was $137,640 for 7,440 DL hours worked. Variable-MOH cost was $128,520 for 50,400 machine hours used. Fixed-MOH cost was $209,160. Your answer is partially correct. Determine the DM,DL, and variable- MOH price and efficiency variances for the month. Your answer is partially correct. Determine the fixed-MOH price and volume variances for the month. If Metlock Industries sells this cleaning product for $42 per gallon, what is its expected gross margin percentage? (Round answer to 1 dedinal place, eg. 15.2\%)

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

Step: 3

blur-text-image

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

Accounting An Introduction

Authors: Eddie McLaney, Peter Atrill

2nd Edition

0273655507, 978-0273655503

More Books

Students also viewed these Accounting questions

Question

7.9 Determine how the final hiring decision is made.

Answered: 1 week ago