Preston manufactures coffee mugs that itses to the companies for customizing with their own logos. Preston prepares feble budgets and uses a standard cont system to control manufacturing costs. The standard unit cost of a coffee mug In based on state budget volume of 60,100 coffee mugs per month cck the icon to view the cost da Actual cost and production Information for July 2018 follows: Click the icon to view actal cost and production information) Read the requires Maquirement. Com the cost and any variances for direct materials and director Begin with the cent viranom de to reared formular compute the cent variances for direct nature and direct later, and identity whether auch verance in tevoratio (F) or unfavorable (U). castravitons unst A low Food Standard cont sandard Van bir mariscos Dostane Choose from any wybin the role and then click here Anw Clear Check A. Read the requirements. ency variances for direct materials and direct labor uired formulas, compute standard cost, SQ = star Data Table Formula - X for unfavorat $ 0.05 0.36 Direct Materials (0.2 lbs @ $0.25 per lb) Direct Labor (3 minutes @ $0.12 per minute) Manufacturing Overhead: Variable (3 minutes @ $0.06 per minute) Fixed (3 minutes @ $0.14 per minute) Total Cost per Coffee Mug $ 0.18 0.42 0.60 $ 1.01 Print Done mber in the input fields and then click Check Answer. companies for customizing with their own logos. Preston prepares control manufacturing costs. The standard unit cost of a coffee mug gs per month Actual cost and production information for July 2018 follow (Click the icon to view actual cost and production inform Read the requirements. iances for direct materials and direct labor. mulas, compul d cost; SQ = S unfavor More Info - X Formula a. There were no beginning or ending inventory balances. All expenditures were on account. b. Actual production and sales were 62,800 coffee mugs. c. Actual direct materials usage was 10,000 lbs. at an actual cost of $0.17 per lb. d. Actual direct labor usage was 201,000 minutes at a total cost of $28,140. Actual overhead cost was $11,055 variable and $29,645 fixed. f. Selling and administrative costs were $131,000. e. Print Done als to other companies for customizing with their own logos. Preston prepares system to control manufacturing costs. The standard unit cost of a coffee mug coffee mugs per month Actual cost and production information for July 2018 follows: (Click the icon to view actual cost and production information.) Read the requirements Siency variances for direct materials and direct labor. quired formulas, compute the cost variances for direct materials and direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbre standard cost, so standard quantity.) Formula Variance Requirements - X 1. Compute the cost and efficiency variances for direct materials and direct labor. 2. Journalize the purchase and usage of direct materials and the assignment of direct labor, including the related variances 3. For manufacturing overhead, compute the variable overhead cost and efficiency variances and the foxed overhead cost and volume variances. 4. Journalize the actual manufacturing overhead and the allocated manufacturing overhead. Joumalize the movement of all production costs from Work-in-Process Inventory. Journalize the adjusting of the Manufacturing Overhead account 5. Preston intentionally hired more highly skilled workers during July. How did this decision affect the cost variances? Overall, was the decision wise? Print be in the input fields and then click Check Answer Done