Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

Income Statement with Variances Bellingham Company produces a product that requires 2.5 standard pounds per unit at a standard price of $3.75 per pound. The

image text in transcribed
image text in transcribed
Income Statement with Variances Bellingham Company produces a product that requires 2.5 standard pounds per unit at a standard price of $3.75 per pound. The company used 35,000 pounds to produce 15,000 units, which were purchased at $4.00 per pound. Each unit requires 4 standard direct labor hours per unit at a standard hourly rate of $20 per hour. For the 15,000 units produced, 61,800 hours were needed and employees were paid an hourly rate of $19.85 per hour. The company uses a standard variable overhead cost per unit of $0.90 per direct labor hour. Actual variable factory overhead was $52.770. The company uses a staridard fixed overhead cost per unit of $1.15 per direct labor hour at 58,000 hours, which is 100% of normal capacity Prepare an income statement through gross profit for Bellingham Company for the month ending March 31. Assume Bellingham sold 15,000 units at $172 per unit. For those boxes in which you must enter subtractive or negative numbers use a minus sign. If an amount box does not require an entry, leave it blank, Bellingham Company Income Statement Through Gross Profit For the Month Ending March 31 Sales Cost of goods sold at standard Gross profit-st standard Favorable Unfavorable Variances from standard cost: Direct materials price Direct materials quantity Direct labor rate Direct lobortime Factory overhead controllable Factory overhead volume Netfanart favorable Previous > Next SHOW ME HOW Printem hourly rate of $20 per hour. For the 15,000 units produced, 61,800 hours were needed and employees were paid an hourly rate of $19.85 per hour. The company uses a standard variable overhead cost per unit of $0.90 per direct labor hour. Actual variable factory overhead was $52,770. The company uses a standard fixed overhead cost per unit of $1.15 per direct labor hour at 58,000 hours, which is 100% of normal capacity Prepare an income statement through gross profit for Bellingham Company for the month ending March 31. Assume Bellingham sold 15,000 units at $172 per unit. For those boxes in which you must enter subtractive or negative numbers use a minus sign. If an amount box does not require an entry. leave it blank Bellingham Company Income Statement through Gross Profit For the Month Ending March 31 Sales Cost of goods sold at standard Gross profit at standard Favorable Unfavorable Variances from standard cost: Direct materials price Direct materials quantity Direct labor rate Direct labor time Factory overhead controllable Factory overhead volume Net variances from standard cost favorable Gross profit NO Check My Work more Check My Works remaining

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Investments

Authors: Zvi Bodie, Alex Kane, Alan Marcus, Stylianos Perrakis, Peter

8th Canadian Edition

978-0071338875

Students also viewed these Accounting questions

Question

the head of a university police force

Answered: 1 week ago

Question

600 lb 20 0.5 ft 30 30 5 ft

Answered: 1 week ago