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Please only provide answer for blanks in image below: Lexi Belcher picked up the monthly report that Irvin Santamaria left an her desk. She smiled
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Lexi Belcher picked up the monthly report that Irvin Santamaria left an her desk. She smiled as her eyes went straight to the bottom line of the report and saw the favorable variance for operating income, confirming her decisian to push the workers to get those last 300 cases off the production line befare the end of the month. But as she glanced over the rest of numbers, Lexi couldn't help but wonder if there were errors in some of the line items. She was puzzled at how most of the operating expenses could be higher than the budget since she had worked hard to manage the praduction line to improve efficiency and reduce costs. Yet the report, shown below, shawed a different story. Lexi picked up the phane and called Irvin "Irvin, I don't get it. We beat the budgeted operating income for the month, but lock at all the unfavorable variances an the operating costs. Can you help me understand what's going an?" "Let me look into it and I'li get back to you," Irvin replied. Irvin gathered the following additional information about the month's performance. - Direct materials purchased: 54,400 pounds at a total of $633,760 - Direct materials used: 51,300 pounds - Direct labor hours warked: 27,200 at a total cost of $309,706 - Machine haurs used: 52,000 Irvin also found the standard cost card for a case of product. Your answer is correct. (a-b) Calculate the direct material price variance and direct material quantity variance for the month. (If variance is zero, select "Not Applicable" and enter 0 for the amounts.) Direct material price variance $ Direct material quantity variance $ (c-d) Calculate the direct labor rate variance and direct labor efficiency variance for the month. (Round answers to 0 decimal places, e.g. 1,525. If variance is zero, select "Not Applicable" and enter 0 for the amounts.) Direct labor rate variance $ Direct labor efficiency variance $ (e-f) Calculate the variable overhead spending variance and variable overhead efficiency variance for the month. (If variance is zero, select "Not Applicable" and enter 0 for the amounts.) Variable overhead spending variance $ Variable overhead efficiency variance $ (g) Calculate the fixed overhead spending variance for the month. (If variance is zero, select "Not Applicable" and enter 0 for the amounts.) Fixed overhead spending variance $ Prepare a performance report that will assist Lexi in evaluating her efforts to control production costs. (If variance is zero, select "Not Applicable" and enter 0 for the amounts.)Step by Step Solution
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