,

it cut off at direct materials price variance and also includes computing total variable and fixed overhead variances.

Per Unit DM: DL: = 10.0 lbs 8.0 hrs 8.0 hrs 8.0 hrs 12.50 per lb 17.75 per hr 6.00 per hr 4.00 per hr VOH: FOH: 125.00 142.00 48.00 32.00 347.00 Flexible Budget (based on 80% Productive Capacity) Unit Production Percent of Capacity 3,500 70% 4,000 80% 4,500 90% DM Quantity DM $$ 10.0 125.00 35,000 437,500 40,000 500,000 45,000 562,500 DL Hours DL SS 8.0 142.00 28,000 497,000 32,000 568,000 36,000 639,000 Indirect Material Indirect Labor Utilities Total VOH $S 2.10 2.70 1.20 6.00 58,800 75,600 33,600 168,000 67,200 86,400 38,400 192,000 75,600 97,200 43,200 216,000 Rent - Factory Deprec -- Factory Factory Insurance Supervisor Salaries Total FOH $$ 1.00 0.80 0.60 1.60 4.00 32,000 25,600 19,200 51,200 128,000 32,000 25,600 19,200 51,200 128,000 32,000 25,600 19,200 51,200 128,000 Actual Results (based on 90% Productive Capacity) DM: 46,500 lbs 12.20 per lb 567,300 DL: 35,400 hrs 19.15 per hr 677,910 Indirect Material Indirect labor Utilities Rent - Factory Deprec -- Factory Factory Insurance Supervisor Salaries Total Factory OH 5$ 73,200 97,450 44,110 31,950 23,600 18,540 50,890 339.740 . chapter 8 accounting if favorable mark F if unfavorable mark with a U. direct materials cost variance, direct labor cost variance, overhead controllable and volume variances, variable overhead spending and efficiency variance, fixed overhead spending and volume variances, total overhead controllable variance, controllable variance, direct materials