Answered step by step
Verified Expert Solution
Question
1 Approved Answer
list n 1 on 2 on 3 Standards K Direct materials (resin) Direct labor. Elegant Designs is a manufacturer of large flower pots for urban
list n 1 on 2 on 3 Standards K Direct materials (resin) Direct labor. Elegant Designs is a manufacturer of large flower pots for urban settings. The company has these standards: (Click the icon to view the standards.) (Click the icon to view the actual results.) Read the requirements. Requirement 1. Compute the direct material price variance and the direct material quantity variance. (Enter the variances as positive numbers. Enter currency amounts in the formula to the neare cent and then round the final variance amount to the nearest whole dollar. Label the variance as favorable (F) or unfavorable (U). Abbreviations used: DM = Direct materials) First determine the formula for the price variance, then compute the price variance for direct materials. Standard variable manufacturing overhead rate Budgeted fixed manufacturing overhead Standard fixed MOH rate.. Print x ( 10 pounds per pot at a cost of $3.00 per . pound 5.0 hours at a cost of $19.00 per hour $3.00 per direct labor hour $94,000 $12.00 per direct labor hour (DLH) Done X DM price variance Actual Results Elegant Designs allocates fixed manufacturing overhead to production based on standard direct labor hours. Last month, Elegant Designs reported the following actual results for the production of 1,600 flower pots: Direct materials. Direct labor. Actual variable manufacturing overhead Actual fixed manufacturing overhead Standard fixed manufacturing overhead allocated based on actual production. Purchased 17,820 pounds at a cost of $3.50 per pound; used 17,120 pounds to produce 1,600 pots Worked 5.5 hours per flower pot (8,800 total DLH) at a cost of $18.00 per hour $3.20 per direct labor hour for total actual variable manufacturing overhead of $28,160 $93,500 I $96,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started