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Mifer Toy Cempany manufactures a plastic seimming poef at its Westwood Piant. The plant has been experiestirig probiems as shown by its duse corfibition format

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Mifer Toy Cempany manufactures a plastic seimming poef at its Westwood Piant. The plant has been experiestirig probiems as shown by its duse corfibition format income statoment below: "Contains direct itasenals, diext labor, and yarable manylactaring oveihese Janet Dunn, who has just been dopented geneval marager of the Wostwood Plark has been given instructions to *okt thisgs under cantrak. Uoon reviewing the plact's hcome statement, Ms. Durn has concluded that the major problem les in the variable cout of grods sold, She has been provided with the folowing tandard cost per swimming poot "Barest an machine-hours. During dune, the plant produced 7,000 poos and incurred the folowing costs: a. Furchesed 20,800 pounds of mateiels at a cost of 52.85 per pound. ignored) c. Worked 2,700 dicect iaborhours at a cost of 55.10 per hour. ignorea. c. Wonked 2,700 elrect laber-hours at a cost of $6,10 per hout. d. Incuired variable manufacturing overhead cost totaling 5$0,350 for the month. A total of 4.500 machine hours was tecorded It is the company's policy to close ail variances to cost of goods sold on a monthy bessis. Aequired: 1. Compute the following variances for June: a. Materials price and quartity variances. b. Labor rate and etficiency variances. c. Variable overhesd rate and efficiency variances. 2. 5 ummarise the variances that you computed in requirement 1 by showing the net orerali foworsbie or untmarabie variance for me. morth Cemplete this queition by entering your aniswers in the tabe beiow. 13. Compute the foliowing variances for June, materials peice and quactsy variances 16. Compute the fisowing wariances for kne, laber rate and elticiency varionces. 1e. ceefpute the following variances for June, varlable orerhead rate arde efliciency variances. Miller Toy Company manufactures a plastic swimming pool at its Westwood Plant. The plant has been experiencing probiems as shown by its June contribution format income statement below: "Coritains direct materials, direct lebor, and variable manufacturing overhead, Janet Dunn, who has just been appointed general manager of the Westwood Plant, has been given instructions to "get things undef controit Upon reviewing the plant's income statement. Ms. Dunn has concluded that the major problem lies in the variable cost of goods sold, She has been provided with the following standard cost per swimming poot "Based on machine-hours. During June, the plant produced 7,000 pools and incurred the following costs: "Hased on machine-hours. During June, the plant produced 7,000 pools and incurred the following costs: a. Purchased 28,800 pounds of materials at a cost of $2.85 per pound. b. Used 23,600 pounds of materials in production. (Finished goods and work in process inventories are insignificant and can be ignored.) c. Worked 2,700 direct labor hours at a cost of $6.10 per hour, d. Incurred variable manufacturing overhead cost totaling $10,350 for the month. A total of 4,500 machine-hours was recorded. It is the company's policy to close all variances to cost of goods sold on a monthly basis. Required: 1. Compute the following variances for June: a. Materials price and quantity variances. b. Labor rate and efficiency variances. c. Variable overheod rate and efficiency variances. 2. Summarize the variances that you computed in requirement 1 by showing the net overall favorable or unfovorable variance for the month. Complete this question by entering your answers in the tabs below. 1a. Compute the following variances for June, materials price and quantity variances. 16. Compute the following variances for June, labor rate and efficiency variances. 1c. Compute the following variances for June, variable overhead rate and efficiency variances, (Do not round your intermediate calculations, Indieate the effect of each variance by selecting "F" for favorable, "U\% for Complete this question by entering your answers in the tabs below. 1a. Compute the following variances for June, materiais price and quantity variances. 16. Compute the following variances for June, labor rate and efficiency variances. 1c. Compute the following variances for June, variable overhead rate and efficiency variances. (Do not round your intermediate calculations. Indicate the effect of each variance by solecting "F" for favorable, "U* for unfavorable, and "None" for no effect (1.e., zero variance). Input all amounts as positive values.) 1. Compute the following variances for June: a. Materials price and quantity variances. b. Labor rate and efficiency variances. c. Variable overhead rate and efficiency variances. 2. Summarize the variances that you computed in requirement 1 by showing the net overall favorable or unfavorable variance for the month. Complete this question by enterifig your answers in the tabs below. Summarize the variances that you computed in requirement 1 by showing the net overall favorable or unfavorable variance for the month. (Indicate the effect of each variance by solecting "F" for favorable, "U" for unfavorable, and "Nione" for no. effect (i.e., zero variance). Input all amounts as positive values.)

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