Preble Company manufactures one product. its variable manufacturing overhead is applied to production Dased o labor-hours and its standard cost card per unit is as follows: The company also established the following cost formulas for its selling expenses: The planning budget for March was based on producing and selling 32,000 units. However, during March the company actually produced and sold 37,000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $7,40 per pound. All of this material was used in production. b. Direct-laborers worked 67,000 hours at a rate of $17,00 per hour. c. Total variable manufacturing overhead for the month was $422,100. d. Total advertising, sales salaries and commissions, and shipping expenses were $329,000,$515,000, and $235,000. respectively. Required: 1. What raw materials cost would be included in the company's flexible budget for March? 2. What is the materials quantity variance for March? (Indicate the effect of each varrance by value.) unfavorable, and "None" for no effect (i.e., zero variance.), Input the amount as 3. What is the materials price variance for March? (Indicate the effect of each variance by selecting "F" unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive value.) 6. What direct labor cost would be included in the company's flexible budget for March? What is the direct labor efficiency variance for March? (Indicate the effect of each variance by selecting unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive value.) 8. What is the direct labor rate variance for March? (Indicate the effect of each variance by selectir unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive value.) 9. What variable manufacturing overhead cost would be included in the company's flexible budget for March? 10. What is the variable overhead efficiency variance for March? (Indicate the effect of eac "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a 11. What is the variable overhead rate variance for March? (Indicate the effect of unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount a 12. What amounts of advertising, sales salaries and commissions, and shipping expenses would be included in the company's flexible budget for March? 13. What is the spending variance related to advertising? (Indicate the effect of each variance by selecting "F" for favora unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive value.) 14. What is the spending variance related to sales salaries and commissions? (Indicate the effect of each varian favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive 15. What is the spending variance related to shipping expenses? (Indicate the effect of each variance by selecti "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Input the amount as a positive value.)
