Pender Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: Click the icon to view the standards.) Actual cost and operating data from the most recent month are as follows: B Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements. Requirement 1. Calculate the standard cost of one awning. Standard cost Standard cost per unit Direct materials Direct labor Variable MOH Fixed MOH Total standard cost Requirement 2a. Calculate the direct material variances. (Enter the variances as positive numbers. Enter currency amounts to the nearest cent and your answers 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. x DM price variance X Choose from any lietnr entorn Pender Awning manufactures awnings and uses a standard cost system. Actual cost and operating data from the most recent month are as follows The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: (Click the icon to view the actual results.) (Click the icon to view the standards.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements Requirement 2a. Calculate the direct material variances. (Enter the variances as positive numbers. Enter currency amounts to the nearest cent and your answers 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. x )- = DM price variance x( ) = Determine the formula for the quantity variance, then compute the quantity variance for direct materials x DM quantity variance x Requirement 2b. Calculate the direct labor variances. (Enter the variances as positive numbers. Enter currency amounts to the nearest cent and your answers to the nearest whole dollar. Label the variance as favorable (F) or unfavorable (U). Abbreviations used: DL = Direct labor.) First determine the formula for the rate variance, then compute the rate variance for direct labor. x DL rate variance x Choose from any list or enter any number in the innt flori Pender Awning manufactures awnings and uses a standard cost system. Actual cost and operating data from the most recent month are as follows: The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: (Click the icon to view the actual results.) (Click the icon to view the standards.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements First determine the formula for the efficiency variance, then compute the efficiency variance for direct labor. DL efficiency variance X x Requirement 2c. Calculate the variable manufacturing overhead variances. (Enter the variances as positive numbers, Enter currency amounts to the nearest cent and your answers to the nearest whole dollar. Label the variance as favorable (F) or unfavorable (U).) First determine the formula for the rate variance, then compute the rate variance for variable manufacturing overhead. (Round interim calculations to the nearest cont.) Variable overhead | rate variance X Now compute the variable manufacturing overhead efficiency variance. First determine the formula for the efficiency variance, then compute the efficiency variance for variable manufacturing overhead. Variable overhead Choose from any list or enter any number in the input fields and then continue to the Pender Awning manufactures awnings and uses a standard cost system. Actual cost and operating data from the most recent month are as follows: The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: (Click the icon to view the actual results.) (Click the icon to view the standards.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements Now compute the variable manufacturing overhead efficiency variance. First determine the formula for the efficiency variance, then compute the efficiency variance for variable manufacturing overhead. Variable overhead x efficiency variance x h Requirement 2d. Calculate the fixed manufacturing overhead variances. (Enter the variance as a positive number. Label the variance as favorable (F) or unfavorable (U).) Begin by computing the fixed manufacturing overhead budget variance. First determine the formula for the budget variance, then compute the budget variance for fixed manufacturing overhead. Fixed MOH = budget variance 50 ud at Now compute the fixed manufacturing overhead volume variance. First determine the formula for the volume variance, then compute the volume variance for fixed manufacturing overhead. Pender Awning manufactures awnings and uses a standard cost system. Actual cost and operating data from the most recent month are as follows: The company allocates overhead based on the number of direct labor (Click the icon to view the actual results.) hours. The following are the company's cost and standards data: Click the icon to view the standards.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements Now compute the fixed manufacturing overhead volume variance. First determine the formula for the volume variance, then compute the volume variance for fixed manufacturing overhead. Fixed MOH = volume variance Requirement 3. Explain what each of the variances you calculated means and give at least one possible explanation for each of those variances. Direct materials: Variance Meaning Possible explanation DM price DM quantity Direct Labor: Variance Meaning Possible explanation Choose from any list or enter any number in the input fields and then continue to the next question. Pender Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: (Click the icon to view the standards.) Actual cost and operating data from the most recent month are as follow (Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct labor hours Read the requirements Direct Labor: Variance Meaning Possible explanation DL rate DM efficiency Variable manufacturing overhead: Variance Meaning VOH rate Possible explanation VOH efficiency Fixed manufacturing overhead: Variance Meaning Possible explanation Pender Awning manufactures awnings and uses a standard cost system. The company allocates overhead based on the number of direct labor hours. The following are the company's cost and standards data: Click the icon to view the standards.) Actual cost and operating data from the most recent month are as follows: Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct labor hours. Read the requirements VOH efficiency IC Fixed manufacturing overhead: Variance Meaning FOH budget Possible explanation IC ds FOH volume IC Brs Are any of the variances likely to be interrelated? The variance is likely to be related to the This may have resulted in variance. It is likely that Pender Awning ste Ch tures awnings and uses a standard cost system. verhead based on the number of direct labor the company's cost and standards data: w the standards.) Actual cost and operating data from the most recent month are (Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of direct la Dead the comicamente - X Standard Price and Volume verhea Standards: Direct materials 21.0 yards per awning at $11.00 per yard Direct labor 2.0 hours per awning at $13.00 per hour Variable MOH standard rate $7.00 per direct labor hour Predetermined fixed MOH standard rate $11.00 per direct labor hour Total budgeted fixed MOH cost $44,700 s likely to Print Done Tomer render Awning This may have resulted in er enter any number in the input fields and then continue to the next queetian es awnings and uses a standard cost system. erhead based on the number of direct labor e company's cost and standards data: the standards.) Actual cost and operating data from the most recent mor (Click the icon to view the actual results.) All manufacturing overhead is allocated on the basis of di Read the requirements. - X i Actual Results rhead: Purchased 46,830 yards at a total cost of $487,032 Used 43,200 yards in producing 2,100 awnings Actual direct labor cost of $52,140 for a total of 3,950 hours Actual variable MOH $28,835 Actual fixed MOH $49,200 Print Done ikely to variance. It is likely that Pender Awning variance is likely to be related to the This may have resulted in enter any number in the input fields and then continue to the next