Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help with some accounting homework. Please see attached. Trico Company set the following standard unit costs for its single product. Direct materials (27

I need help with some accounting homework. Please see attached.

image text in transcribed Trico Company set the following standard unit costs for its single product. Direct materials (27 Ibs. @ $5 per Ib.) Direct labor (10 hrs. @ $10 per hr.) Factory overheadvariable (10 hrs. @ $6 per hr.) Factory overheadfixed (10 hrs. @ $9 per hr.) Total standard cost $ 135.00 100.00 60.00 90.00 $ 385.00 The predetermined overhead rate is based on a planned operating volume of 70% of the productive capacity of 50,000 units per quarter. The following flexible budget information is available. Operating Levels Production in units Standard direct labor hours Budgeted overhead Fixed factory overhead Variable factory overhead 60% 30,000 300,000 70% 35,000 350,000 80% 40,000 400,000 $ 3,150,000 $ 1,800,000 $ 3,150,000 $ 2,100,000 $ 3,150,000 $ 2,400,000 During the current quarter, the company operated at 80% of capacity and produced 40,000 units of product; actual direct labor totaled 395,000 hours. Units produced were assigned the following standard costs: Direct materials (1,080,000 Ibs. @ $5 per Ib.) Direct labor (400,000 hrs. @ $10 per hr.) Factory overhead (400,000 hrs. @ $15 per hr.) Total standard cost Actual costs incurred during the current quarter follow: $ 5,400,000 4,000,000 6,000,000 $ 15,400,000 Direct materials (1,075,000 Ibs. @ $5.10 per lb.) Direct labor (395,000 hrs. @ $9.75 per hr.) Fixed factory overhead costs Variable factory overhead costs Total actual costs $ 5,482,500 3,851,250 3,502,830 3,279,245 $ 16,115,825

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

Integrated Accounting For Windows

Authors: Dale A. Klooster, Warren Allen

5th Edition

0324312490, 9780324312492

More Books

Students also viewed these Accounting questions

Question

The feeling of boredom.

Answered: 1 week ago