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PLEASE SHOW ALL WORK FOR A RATING! The following information is for the standard and actual costs for the Happy Corporation: Standard Costs: Budgeted units
PLEASE SHOW ALL WORK FOR A RATING!
The following information is for the standard and actual costs for the Happy Corporation: Standard Costs: Budgeted units of production - 16,000 (100% of normal capacity] Standard labor hours per unit - 4 Standard labor rate - $25 per hour Standard material per unit - 8 lbs. Standard material cost - $13 per pound Standard variable overhead rate - $15 per labor hour Budgeted fixed overhead - $640,000 Fixed overhead rate is based on budgeted labor hours at 100% of normal capacity. Actual Cost: Actual production - 16,500 units Actual material purchased and used - 129,000 pounds Actual total material cost - $1,650,000 Actual labor - 65,000 hours Actual total labor costs - $1,650,000 Actual variable overhead - $1,010,000 Actual fixed overhead - $650,000 Determine: (a) the direct materials quantity variance, price variance, and total cost variance; (b) the direct labor time variance, rate variance, and total cost variance; and (c) the fixed factory overhead volume variance, variable factory overhead controllable variance, and total factory overhead cost variance. (Note: All detailed calculations need to be submitted. If you just submit the variance without the detailed calculations, it will not be correct. Remember to indicate For U for all variancesStep by Step Solution
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