please help with the variance portion. i will provide additional information if needed.

all i have is the additional work i have done

Using the information provided on the BLUE TABS, calculate the following variances. Include a description of the variables for each computation In order to receive credit --> show your calculations!! Hint Start by calculating the standard DM cost of one unit, actual DM cost of one unit, standard labor cost for one unit and actual labor cost for one unit Check the production budget for the planned number of bikes. The actual number of bikes produced is provided in the Additional Info - Actual Costs tab Expected / Standard Unit Cost Total Actual Cost Unit Total 0 1 2 Product Costs 13 Electrical sets direct materials: 14 Wheels direct materials - set of 4 15 Metal parts direct materials: 16 Canvas fabric direct materials: 17 Total DM cost for one bike 18 Direct labor hours 19 20 21 Total Materials Variance 22 23 24 25 26 27 Material Price Variance 28 29 30 31 32 33 Material Quantity Variance SENRA 22 23 24 25 26 27 Material Price Variance 28 29 30 31 32 33 Material Quantity Variance 34 35 36 37 38 39 Total Labor Variance 40 41 42 43 44 45 Labor Price Variance mm 46 47 48 49 50 51 Labor Quantity Variance 52 D E However, the company also experienced some increased costs. Use this information to complete the CH24 Budet Variances tab; the green section. Electrical Parts Direct Materials The purchase price, net of discounts increase by $2.50 per set. There was also an increase in freight of by $0.25 per set. Wheel Sets Direct Materials: The company was able to secure the same wheel sets from a new supplier at a cost of $37/set. However, freight cost increased by $0.50 per wheel set. Metal Parts Direct Materials: The company was also able to reduce the amount of material used for each bike by 3 pounds. The acual cost of the metal parts was $0.52 per pound. Canvas Fabric Direct Materials: The company was also able to reduce the amount of material used for each bike by one-half a yard. The acual cost of the canvas fabric was $4.95 per yard. Direct labor Employees were tasked with increasing equipment assembly and decreasing labor hours. They were successful in 2021 and brought hours down by 5/hours/unit! The company provided a $1/hour raise! This also lead to an increase of $0.25/hour in payroll taxes. Manufacturing overhead: There were no changes in manufacturing overhead, no variance needs to be computed Using this information, computer the budget variances incurred during 2021. M M B c D G H Surrey Bikes, Inc. Selling and Administrative Expense Budget For the Year Ended December 31, 2021 Fixed expenses 9 Building and Equipment Depreciation 0 Company Insurance 1 Company Advertising 12 Selling and administrative salaries and benefits 3 Total selling and administrative expenses Given $ Given $ Given Given 45.000423,000-117,000+300,000 $ 45,000 23,000 117,000 300,000 485,000 nu 25 Management had to borrow some money from the bank to start the business five years ago. As a result, they still have some interest expense. 26 is $10,000 per year. Management anticipates a 20% tax rate for 2021. 27 26 Surrey Bikes, Inc. 229 Budget Income Statement 130 For the Year Ended December 31, 2021 131 132 Sales 133 "Cost of goods sold 134 Gross profit 135 Selling and administrative expenses 136 Income from operations 137 Interest expense 138 Income before income taxes 139 Income tax expense 140 Net Income 141 142 Supplemental Schedule - COGS Cost Budget per Unit 143 Cost Element Quantity Unit Cost Total 1:44 Electrical sets direct materials: 830 set $ 100.00 $ 83,000.00 145 Wheels - set of 4 direct materials 830 set $ 40.00 $ 33,200.00 146 Metal parts direct materials: 128,960 pounds $ 0.50 $ 64,480.00 147 Canvas direct materials: 1,220 yards $ 10.00 $ 12,200.00 145 Direct labor 34,000.00 hour $ 21.25 $ 722,500.00 149 Manufacturing overhead - machine hours 68,000 hour $ 8.00 $1,459,380.00 150 Total COGS Budget per Unit 5 Surrey Bikes, Inc. manufactures double bench bikes for resorts and other vacation properties. 2 Management is preparing the budget 2021 and has asked for the accountants help, Sales in 2020 were 500 units. They are bringing on a new customer and management is expecting a 20% increase in 2021. They will increase the 4 selling price to $3,300 this year to account for anticipated rising costs. Surrey Bikes, Inc. Sales Budget For the Year Ended December 31, 2021 9 10 Expected sales units 120*500*500 600 11 Unit selling price Even in problem $ 3,300 12. Total sales 3.100600 $ 1,980,000 13 2 At the end of 2020, there were no bikes left in inventory to sell in 2021. Management would like to start 2022 with inventory on hand. They would like to budget to end 2021 with 30 completed and finished bikes. 35 17 Surrey Bikes, Inc. Production Budget 19 For the Year Ended December 31, 2021 20 21 Expected sales units 1-20 500 500 22 Add: Desired ending finished goods units (ending balance 2021) 21 Total required units 24 Less: Beginning finished goods units (ending balance 2020) 25 Required production units 26 600 30 500 2 29 Management expects to end 2020 with some direct materials. They want to make sure that at the end of 2021, they have enough direct materials on hand to start production right away in 2022. Per Unit Expected Ending Balance 2020 Ending 2021 Cost Balance 2021 so Electrical sets direct materials: 1 set $ 100.00 50 150 11 Wheels direct materials - set of 4 1 set $ 40.00 25 150 Metal parts direct materials: 200 pounds 5 0.50 1,000 5,000 33 Canvas fabric direct materials 3 yards $ 10.00 20 200 Management expects to end 2020 with some direct materials. They want to make sure that at the end of 2021, they have enough direct materials on hand to start production right away in 2022. Expected Per Unit Ending Balance 2020 Ending 2021 Cost Balance 2021 Electrical sets direct materials: 1 set $ 100.00 50 150 Wheels direct materials - set of 4 1 set 40.00 25 150 Metal parts direct materials: 200 pounds 0.50 1,000 5,000 Canvas fabric direct materials: 3 yards $ 10.00 20 200 $ $ Surrey Bikes, Inc. Direct Materials Budget For the Year Ended December 31, 2021 additional info given table additional info ventable 680150 Diventable 830-50 76,245/780 780997,75 680 1 680 150 830 50 780 97.75 76,245 $ $ Required production units Electrical sets per unit produced: Total needed for production Add: Desired ending direct materials (ending balance 2021) Total materials required Less: Beginning direct materials (ending balance 2020) Direct materials purchases Cost per set Total cost of electrical sets direct materials purchases Required production units Wheel sets per unit produced: material sets per unit produced: Total wheel sets needed for production Add: Desired ending direct materials (ending balance 2021) Total materials required Less: Beginning direct materials (ending balance 2020) Direct materials purchases in sets Cost per set Total cost of wheelsets direct materials purchases Required production units Metal parts direct materials pounds per unit produced: Total pounds needed for production Add: Desired ending direct materials in pounds (ending balance 2021) Total materials required Less: Beginning direct materials in pounds lending balance 2020) Additional info Given in table Additional info Given in table 680-150 Given in table 830-25= (37.50) - (Also Given) BOS37.50 680 1 680 150 830 25 805 37.50 30,188 $ $ Additional info 680*197 Given 133,960 5.000 Given 680 197 133,960 5,000 128,960 1.000 Given 128,960-1,000 Additional info 127,960'0.52 1,000 127,960 0.52 66,539 $ $ 68 64 Less: Beginning direct materials in pounds (ending balance 2020) 65 Direct materials purchases 6 Cost per pound 6 Total cost of metal parts direct materials purchases 69 Required production units 70 Canvas direct material yards per unit produced: 71 Total yards needed for production 72 Add: Desired ending direct materials in yards (ending balance 2021) 73 Total materials required * Less: Beginning direct materials in pounds (ending balance 2020) 75 Direct materials purchases 76 Cost per yard 77 Total cost of canvas direct materials purchases 19 Total cost of ALL direct materials purchases 30 Additional info Given in Table 680*3/2- Given in Table 1,020+200- Given in Table 1,220-20- Additional info 1,200*4.95 680 3 1,020 200 1.220 20 1,200 4.95 5,940 $ $ 78 76,245:30,188466,53915,940 $ 178,912 B Management expects that it will take 50 hours of direct labor to manufacture each bike. Direct labor is billed at $20/hour. 32 83 Surrey Bikes, Inc. 85 Direct Labor Budget 06 For the Year Ended December 31, 2021 87 Ba Units to be produced 680 89 Direct labor time (hours) per unit 50 90 Total required direct labor hours 34,000 91 Direct labor cost per hour $ 21 92 Total direct labor cost 722,500 93 Overhead for the company only exists of machine usage. It will take 100 machine hours per bike and the cost is $8/hour. $ 94 95 96 97 38 99 100 Units to be produced Surrey Bikes, Inc. Manufacturing Overhead Budget For the Year Ended December 31, 2021 Overhead for the company only exists of machine usage. It will take 100 machine hours per bike and the cost is $8/hour. 94 95 96 27 90 99 101 Surrey Bikes, Inc. Manufacturing Overhead Budget For the Year Ended December 31, 2021 100 Units to be produced 101 Machine hours per unit 102 Total required machine hours 103 Machine cost per hour 104 Total manufacturing overhead 105 106 Management also anticipates the following fixed costs, some anticipated changes from last year: on Building and Equipment Depreciation 109 Company Insurance 110 Company Advertising 13 Selling and Administrative Salaries and Benefits 112 113 Surrey Bikes, Inc. 115 Selling and Administrative Expense Budget 116 For the Year Ended December 31, 2021 117 118 Fixed expenses 119 Building and Equipment Depreciation Given 120 Company Insurance Given 121 Company Advertising Given 122 Selling and administrative salaries and benefits Given 123 Total selling and administrative expenses 45.000 23,000-117,000+300,000 $45,000 $23,000 $117,000 $300,000 114 $ $ $ $ s 45,000 23,000 117,000 300,000 485,000 124 125 Management had to borrow some money from the bank to start the business five years ago. As a result, they still have some interest expense. I 126 is $10,000 per year. Management anticipates a 20% tax rate for 2021. 122 128 129 130 Surrey Bikes, Inc. Budget Income Statement For the Year Ended December 31, 2021 120 A D H 127 Surrey Bikes, Inc. 129 Budget Income Statement 130 For the Year Ended December 31, 2021 131 132 Sales 130 "Cost of goods sold 134 Gross profit 135 Selling and administrative expenses 36 Income from operations 137 Interest expense 133 Income before income taxes 139 Income tax expense 140 Net Income 141 142 Supplemental Schedule - COGS Cost Budget per Unit 143 Cost Element Quantity Unit Cost 144 Electrical sets direct materials: 830 set $ 145 Wheels - set of 4 direct materials 830 set $ 146 Metal parts direct materials: 128,960 pounds $ 147 Canvas direct materials: 1.220 yards $ 148 Direct labor 34,000.00 hour $ 149 Manufacturing overhead - machine hours 68,000 hour $ 150 Total COGS Budget per Unit Total 100.00 $ 83,000.00 40.00 $ 33,200.00 0.50 $ 64,480.00 10.00 $ 12,200.00 21.25 $ 722,500.00 8.00 $1,459,380.00