||! Menu | Fresh C X Q CANVAS UT AU X Assignment 4 X PDF Assignment 4 = Gov337G Notes X Inbox (5,361) Campus ConneX File C:/Users/dolly/Downloads/Assignment%204%20on%20BC.pdf Draw T Read aloud + 1 of 1 CD Direct Labor 248,000 270,000 Variable Overhead 15,200 13,900 Rent on Equipment 6,600 6,200 Income from operations 6,306,200 6,055,900 A. Prepare (i.e. complete) the performance report above; speculate and describe a possible cause for each variance (except for direct materials and direct labor) and then suggest a specific follow-up action for each. B. In order to get a better control over the amounts spent on direct materials and direct labor, the company had previously implemented the following standards and achieved the corresponding results when 6,200 units were produced: Required: Type here to search Standards Direct materials Each unit should have 105 pounds of direct materials purchased at $8 per pound. Actual Results Actual production used 610,000 pounds of direct materials at an average cost of $7.60 per pound. Direct labor Each unit should be produced in 2 1/2 hours at a direct labor cost of $16 per hour. Actual production required 18,000 direct labor hours at an average cost of $15 per hour. Calculate the price and quantity variance for direct materials and direct labor; as needed, round final calculations (i.e. each variance) to the nearest whole dollar. + Q 60 -- Page 1 of 1 -- C. Given your results to part B above, speculate and describe a possible cause for each price and quantity variance and suggest a specific follow-up action for each. (DELL C Con... L 4 ENG 9:53 PM 3/27/2023 ||! Assignment 4 X PDF Assignment 4 = Gov337G Notes X Inbox (5,361) Campus ConneX + 1 of 1 CD Menu | Fresh C X Q CANVAS UT AU X File C:/Users/dolly/Downloads/Assignment%204%20on%20BC.pdf IVICCUMINS OUHIUUI VI DUSIIITSS Draw T Read aloud Foundations of Accounting (ACC 310F) Assignment 4 on BC Once you have completed the assignment below, you must submit your answers using the answer sheet provided in Canvas; not all answers will be turned in and not all answers will be graded. Once submitted, your answers cannot be changed, but where appropriate, partial credit will be given. For future reference, you should keep a copy of your answers (outside of Canvas) as they will not be available to view given the nature of the grading process. Too Cool Corporation produces portable air conditioning systems and had the following data available: Type here to search Budget Actual Sales Less operating expenses Advertising $11,800,000 $11,000,000 16,000 18,000 Less production expenses Direct Materials 5,208,000 4,636,000 Direct Labor 248,000 270,000 Variable Overhead 15,200 13,900 Rent on Equipment 6,600 6,200 Income from operations 6,306,200 6,055,900 + Required: A. Prepare (i.e. complete) the performance report above; speculate and describe a possible cause for each variance (except for direct materials and direct labor) and then suggest a specific follow-up action for each. B. In order to get a better control over the amounts spent on direct materials and direct labor, the company had previously implemented the following standards and achieved the corresponding results when 6,200 units were produced: Standards Actual Results (DELL) Q Con... 4 ENG 9:53 PM 3/27/2023