question 1.)

question 2.)

1-4 please

Your next-door neighbor recently began a new job as assistant controller for Conundrum Corporation. As her first assignment, she prepared a performance report for March. She was scheduled to present the report to management the next morning, so she brought it home to review. As the two of you chatted in the backyard, she decided to show you the report she had prepared. Unfortunately, your dog thought the report was an object to be fetched. The pup made a flying leap and got a firm grip on the report. After chasing the dog around the block you managed to wrest the report from its teeth. Needless to say, it was torn to bits. Only certain data are legible on the report. This information follows: CONUNDRUM CORPORATION Performance Report for the Month of March Direct Direct Variable Fixed Material Labor Overhead Overhead Standard allowed cost given actual output ? ? (? kilograms at $10 per (2 hours at kilogram) $16 per hour) Flexible overhead budget $60,000 Actual cost $185,000 ? ? ? (15,000 (13,400 hours kilograms at at? per hour) $15.5 per kilogram) Direct-material price ? variance Direct-material quantity $ 6,800 U variance Direct-labor rate variance $13,400 U Direct-labor efficiency 6,600 F variance Variable-overhead $2,690 U spending variance Variable-overhead 2,000 F efficiency variance Fixed-overhead budget $ 3,850 U variance Fixed-overhead volume ? Fixed-overhead volume Varlance ? ? . . . In addition to the fragmentary data still legible on the performance report, your neighbor happened to remember the following facts. Planned production of Conundrum's sole product was 600 units more than the actual production. All of the direct material purchased in March was used in production There were no beginning or ending inventories. Variable and fixed overhead are applied on the basis of direct-labor hours. The fixed overhead rate is $4 per hour. Required: Feeling guilty, you have agreed to help your neighbor reconstruct the following facts, which will be necessary for her presentation. (Round "Actual variable-overhead rate" to 2 decimal place, and "Standard direct-material quantity per unit" to nearest whole number. Do not round your Intermediate calculations. Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "O" for no effect (.e., zero variance).) 6. 1. Planned production (in units). 2. Actual production (in units). 3. Actual forced overhead. 4. Total standard allowed direct-labor hours. 5. Actual direct-labor rate. Standard variable-overhead rate (per direct-labor hour.) 7. Actual variable-overhead rate (per direct-labor hour.) 8. Standard direct-material quantity per unit. 9. Direct-material price variance. 10. Applied fixed overhead. 11. Fixed-overhead volume variance. Valley View Hospital has an outpatient clinic. Jeffrey Harper, the hospital's chief administrator, is very concerned about cost control and has asked that performance reports be prepared that compare budgeted and actual amounts for medical assistants, clinic supplies, and lab tests. Past financial studies have shown that the cost of clinic supplies used is driven by the number of medical assistant labor hours worked, whereas lab tests are highly correlated with the number of patients served. The following information is available for June: Lab tests: Actual lab tests for June cost $465,432 and averaged 4.3 per patient. Each patient is anticipated to have four lab tests, at an average budgeted cost of $69 per test. Medical assistants: Valley View's standard wage rate is $14 per hour, and each assistant is expected to spend 30 minutes with a patient. Assistants totaled 850 hours in helping the 1,640 patients seen, at an average pay rate of $16.70 per hour. Clinic supplies: The cost of clinic supplies used is budgeted at $12 per labor hour, and the actual cost of supplies used was $9,450. Required: 1. Prepare a report that shows budgeted and actual costs for the 1,640 patients served during June. Compute the differences (variances) between these amounts and label them as favorable or unfavorable. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "O" for no effect (l.e., zero variance). Do not round Intermediate calculations.) Budget: Actual: 1,640 Patients 1,640 Patients Variance Medical assistants Clinic supplies Lab tests Total 0 $ 0 2. On the basis of your answer to requirement (1), does it appear that Valley View Hospital has any significant problems with respect to clinic supplies and lab tests? O No Yes 3. Determine the spending and efficiency variances for lab tests. (Hint: In applying the a. overhead variance formulas, think of the number of tests as the activity level, and think of the cost per test as analogous to the variable overhead rate.) (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "o" for no effect (.e., zero variance). Do not found intermediate calculations.) Variable-overhead spending variance Variable-overhead efficiency variance 3. Does it appear that Valley View Hospital has any significant problems with the cost of b. its lab tests? O No Yes 4. Compare the lab test variance computed in requirement (1), a flexible-budget variance, with the sum of the variances in requirement (3-a). What is the relationship between the flexible budget variance and the total of the individual standard-cost variances? O The flexible-budget variance is less than the total of the individual star dard- cost variances. The flexible-budget variance is greater than the sum of the total of the Individual standard-cost variances. The flexible-budget variance equals the total of the individual standard-cost variances