Miller Toy Compary manufactures a plastic swimming pool at its Westwood Plant. The plant has been experiencing problems as showRequired 1 by Its June contribution format Income statement below Reqired2 1a. Compute the following variances for June, materials price and quantity variances 1b. Compute the following variences for June, labor rate and efficiency variences 1c. Compute the following variances for June, variable overhead rete and efficiency variances (Do not round your intermediate calculations. Indicate the effect of each varance by selecting "F for faverable, "U for unfavorable, and "None" for no affect (.e., zero variance). Input all amounts as positive values.) Budget Actual Sales (7,000 pools) Variable expensest Variable cost of goods sold Variable selling expenses 9,240 97,525 Total variable experces 67,000 .000 5,000 .00 1a. Matorial price vaniaroe 3,275U Total fixed experacs Matenial quantty vanance Net operating incone Loss ,020 F 4,380U Labor eticency variance Conteins direct materials, direct labor, and variable manufacturing overheed. e. Variable ovwormead rate vanance Variable overhead efficiency Jenet Dunn, who hes just been appointed general manager of the Westwood Plent, hes been given instrucsons to "get things under control. Upon reviewing the plants incame statement, Ms. Dunn has concluded that the major problem lies in the variable cast of goods sold. She has been provided with the folowing standard cost per swimming pool Qaanti Standard Trice standard ty or Screen Shot 2019-04-26 at 1.28.30 PM naterial pound 2.10 par poand.as 7.60 par bor .4 hoars Q Search Total standard cost per 'unit Besed on machine-hours During June the plant produced 7,000 poo's and incurred the following costs a. Purchased 29,500 pounds of materials at a cost of $2.55 per pound. Complete this question by entering your answers in the tabs below RequiredRequired 2 b. Used 24,300 pounds of materials in production. Finished goods and work in process Inventories are insignificant and can be Summarize the variances theat you computed in (1) ebove by showing the net overall favorable or unfavorable variance for the month. (Indicate the emect of each variance by selecting "F. for favorable, "U" for unfavorable, and "None" for no emect (i.e., zero vanance). Input the amount as positive value.) gnored.) c. Worked 3,400 direct labar-hours at a cost of $7.30 per hour d. Incurred variable manufecturing overhead cost toteling $8,400 for the month. A total of 2.400 machine-hours was recorded. It is the company's policy to close all variances to cost of goods sold on monthly basis, C Required 1 Required: 1. Compute the following veriences for June: a. Materials orice and cuantitv variances
