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Please answer all question ie. 1-4 Calgary Paper Company produces paper for photocopiers. The company has developed standard overhead rates based on a monthly capacity
Please answer all question ie. 1-4
Calgary Paper Company produces paper for photocopiers. The company has developed standard overhead rates based on a monthly capacity of 93,000 direct-labor hours as follows: standard costs per unit (one box of paper) Variable overhead (2 direct-labor hours $6) $12 Fixed overhead (2 direct-labor hours e $1e) 20 $32 Total During April, 38.000 units were scheduled for production: however, only 32.000 units were actually produced. The following data relate to April was $1,608,000 for 67,000 actual hours of work. 1. Actual direct-labor cost incurred 2. Actual overhead incurred totaled $1,315,400, of which $415,400 was variable and $900,000 was fixed. Required: Prepare two exhibits similar to Exhibit 11-6 and Exhibit 11-8, which show the following variances. State whether each variance is favorable or unfavorable, where appropriate 1. Variable-overhead spending variance. 2. Variable-overhead efficiency variance. 3. Fixed-overhead budget variance. 4. Fixed-overhead volume variance. Complete this question by entering your answers in the tabs below. Req 3 and 4 Req 1 and 2 Variable-Overhead Spending and Efficiency Variances. (Select "None" and enter "O" for no effect (i.e., zero variance). Round "Actual Rate" and "Standard Rate" to 2 decimal places.) Variable-Overhead Spending And Efficiency Variances (Hours Direct-Labor Hours) (1) (2) (3) (4) Variable Overhead Applied To Work- In-Process Flexible Budget: Variable Overhead Actual Variable Overhead Projected Variable Overhead Actual Standard Standard Standard Standard Standard Actual Qty (AQ) Actual Allowed Qty (SQ) Rate (AVR) Allowed Qty (SQ) Rate Rate (SVR) Rate Qty (AQ) (SVR) (SVR) hours hours per hour hours hours per hour per hour per hour Variable-overhead efficiency variance Variable-overhead spending variance No difference Req 1 and 2 Req 3 and 4 Fixed-Overhead Budget and Volume Variances. (Select "None" and enter "O" for no effect (i.e., zero variance).) Fixed-Overhead Budget And Volume Variances (Hours Direct-Labor Hours) (1) (2) (3) Actual Budgeted Fixed Fixed Overhead Applied To Work In Process Fixed Overhead Overhead Standard Standard Fixed- Allowed Overhead Hours Rate hours per hour Fixed-overhead budget variance Fixed-overhead volume variance Req 3 and 4> Req 1 and 2Step by Step Solution
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