Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help me with the numbers in the problem thank you! The Foundational 15 (Algo) (LO9-1, LO9-2, LO9-4, LO9-5, LO9-6) (The following information applies to

please help me with the numbers in the problem thank you!
image text in transcribed
image text in transcribed
The Foundational 15 (Algo) (LO9-1, LO9-2, LO9-4, LO9-5, LO9-6) (The following information applies to the questions displayed below.) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct material: 5 pounds at $9.00 per pound Direct labor: 3 hours at $14 per hour 42.00 Variable overhead: 3 hours at $9 per hour 27.00 Total standard variable cont per unit $ 114.00 The company also established the following cost formulas for its selling expenses: $ 45.00 variable e Variable Fixed Cost Cont per per Month Unit Sold Advertising $ 300,000 Sales salaries and commissions $ 300,000 $ 22.00 Shipping expenses $ 13.00 The planning budget for March was based on producing and selling 20,000 units. However, during March the company actually produced and sold 24,800 units and incurred the following costs. a. Purchased 155,000 pounds of raw materials at a cost of $7.20 per pound. All of this material was used in production b. Direct laborers worked 65,000 hours at a rate of $15.00 per hour c. Total variable manufacturing overhead for the month was $612,300 d. Total advertising, sales salaries and commissions, and shipping expenses were $303,000, $505,000, and $215,000, respectively. 12. What amounts of advertising, sales salaries and commissions, and shipping expenses would be included in the company's flexible budget for March? Answer is complete but not entirely correct. Advertising $ 200,000 Sales salaries and commissions $ 460,000 Shipping expenses $ 90,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting For Non Accounting Students

Authors: John R. Dyson

7th Edition

0273709224, 9780273709220

More Books

Students also viewed these Accounting questions

Question

OUTCOME 1 Explain the reasons for equity-related legislation.

Answered: 1 week ago