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o points Franklin Glass Works uses a standard cost system in which manufacturing overhead is applied to units of product on the basis of direct

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o points Franklin Glass Works uses a standard cost system in which manufacturing overhead is applied to units of product on the basis of direct Tabor-hours. Each unit requires two standard hours of labor for completion. The budgeted activity for the year was based on budgeted production of 200,000 units. Total overhead was budgeted at $900,000 for the year, and the fixed overhead rate was $3.00 per unit. The actual data pertaining to the manufacturing overhead for the year are presented below: Actual production 198,000 units Actual direct labor-hours 440,000 direct labor-hours Actual variable overhead $352,000 Actual fixed overhead $575,000 Compute variable overhead applied to production for the year. Example of Answer: 4000 (No comma, space, decimal point, or $ sign) Royall Control Company, which manufactures electrical switches, uses a standard cost system in which manufacturing overhead costs are applied to units of product on the basis of machine hours (MHs). Budgeted machine hours per month is 300,000 hours. The standard overhead costs are shown below: Variable overhead (5 MHs @ $8.00 per MH) $40 Fixed overhead (5 MHs @ $12.00 per MH) $60 The following information is available for the month of October: Plans had called for the production of 60,000 switches. 56,000 switches were actually produced, 275,000 machine hours were used for production of 56,000 switches Actual variable overhead costs were $2,340,000. Actual fixed overhead costs were $3,750,000. Compute the production volume variance for October. Indicate if it is favorable (F) or unfavorable (U). Example of Answer: 40000 4000F (No comma, space, decimal point, or $ sign) 0/6 pc Shaw Industries employs a standard cost system. Shaw has established the following standards for the prime costs of one unit of product. Standard Quantity Standard Price Standard Cost Direct materials 8 pounds $1.80 per pound $14.40 Direct labor 0.25 hour $8.00 per hour $ 2.00 During May, Shaw purchased 160,000 pounds of direct material at a total cost of $304,000. The total direct labor wages for May were $37,800. Shaw manufactured 19,000 units of product during May using 142,500 pounds of direct material and 5,000 direct labor hours. Compute the direct material price variance for May. Example of Answer: 40000 4000F (No comma, space, decimal point, or $ sign)

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