Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need the answer for all this questions, please. thank you Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based

image text in transcribed

image text in transcribed

image text in transcribed

I need the answer for all this questions, please. thank you

Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor- hours and its standard cost card per unit is as follows: (1) (2) Standard Standard Quantity or Hours Price Standard Cost (1) (2) Inputs or Rate Direct materials 5 pounds per pound $40.00 Direct labor $14 per hour 28.00 2 hours 2 hours Variable overhead $5 per hour 10.00 Total standard cost per unit $78.00 The planning budget for March was based on producing and selling 25,000 units. However, during March the company actually produced and sold 30,000 units and incurred the following costs: $8.00 a. Purchased 160,000 pounds of raw materials at a cost of $7.50 per pound. All of this material was used in production. b. Direct laborers worked 55,000 hours at a rate of $15.00 per hour. c. Total variable manufacturing overhead for the month was $280,500. Required: 1. What raw materials cost would be included in the company's planning budget for March? 3 4 2. What raw materials cost would be included in the company's flexible budget for March? 5 3. What is the materials price variance for March? 26 4. What is the materials quantity variance for March? 27 28 5. If Preble had purchased 170,000 pounds of materials at $7.50 per pound and used 160,000 pounds in production, what would be the materials price variance for March? 29 30 6. If Preble had purchased 170,000 pounds of materials at $7.50 per pound and used 160,000 pounds in production, what would 32 33 7. What direct labor cost would be included in the company's planning budget for March? 8. What direct labor cost would be included in the company's flexible budget for March? 34 35 9. What is the labor rate variance for March? 36 10. What is the labor efficiency variance for March? 37 38 11. What is the labor spending variance for March? 39 40 12. What variable manufacturing overhead cost would be included in the company's planning budget for March? 13. What variable manufacturing overhead cost would be included in the company's flexible budget for March? 14. What is the variable overhead rate variance for March? 41 42 43 15, What is the variable overhead efficiency variance for March

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

The Future Of Audit Keeping Capital Markets Efficient

Authors: Keith Houghton, Christine Jubb, Michael Kend, Juliana Ng

1st Edition

1921666501, 978-1921666506

More Books

Students also viewed these Accounting questions