s Question Help Assume that there was no beginning inventory of either direct materials or finished units. During the month, materials purchased amounted to 100,600 lb., at a total cost of $533,180. Input price variances are isolated upon purchase. Input-efficiency variances are isolated at the time of usage The Livingston Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor: : (Click the icon to view the standards.) The number of finished units budgeted for January 2020 was 10,060; 9,950 units were actually produced. (Click the icon to view actual data.) Read the requirements Requirement 1. Compute the January 2020 price and efficiency variances of direct materials and direct manufacturing labor. Standards Let's begin by calculating the actual input at the budgeted price. (Round your answers to the nearest whole dollar.) Cost Actual input 100600 Budgeted price 5.20 = 523120 $ 52.00 Direct materials (purchases) Direct materials (usage) Direct manufacturing labor 98500 5.20 512200 Direct materials: 10 lb. at $5.20 per lb. Direct manufacturing labor: 0.5 hour at $32 per hour 16.00 4800 32 153600 Print Done Next determine the formula and calculate the costs for the flexible budget. Budgeted input for actual output Budgeted price Flexible budget cost Direct materials Direct manufacturing labor Now compute the price and efficiency variances for direct materials and direct manufacturing labor. Label each variance as favorable (F) or unfavorable (U). - Actual Data - X Price Efficiency variances Actual results in January 2020 were as follows: variances Direct materials: 98,500 lb. used Direct materials Direct manufacturing labor: 4,800 hours $ 160,800 Direct manufacturing labor Print Done Requirement 2. Prepare journal entries to record the variances in requirement 1. Prepare the journal entry for the direct materials price variance. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit Choose from any list or enter any number in the input fields and then continue to the next question. ? Assume that there was no beginning inventory of either direct materials or finished units. During the month, materials purchased amounted to 100,600 lb., at a to cost of $533,180. Input price variances are isolated upon purchase. Input-efficiency variances are isolated at the time of usage. The Livingston Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor: (Click the icon to view the standards.) The number of finished units budgeted for January 2020 was 10,060; 9,950 units were actually produced. BE (Click the icon to view actual data.) Read the requirements Standards - X Next prepare the journal entry for direct materials efficiency variance. Journal Entry Direct materials: 10 lb. at $5.20 per lb. Direct manufacturing labor: 0.5 hour at $32 per hour $ 52.00 16.00 Date Accounts Debit Credit Print Done Actual Data Now prepare the journal entry for direct manufacturing labor price and efficiency variances Journal Entry Date Accounts Debit Credit Actual results in January 2020 were as follows: Direct materials: 98,500 lb. used Direct manufacturing labor: 4,800 hours $ 160,800 Print Done Requirement 3. Comment on the January 2020 price and efficiency variances of Livingston Corporation. A key point is that likely to be They are so Fluctuations about standards are bound to occur in a fashion. Practically, from a control viewpoint, a standard is a band or range of acceptable performance rather than a single-figure measure. Requirement 4. Why might Livingston calculate direct materials price variances and direct materials efficiency variances with reference to different points in time? The purchasing point is where responsibility for V is found most often. The production point is where responsibility for V is found most often. Livingston Corporation may calculate variances at different points in time to tie in with Choose from any list or enter any number in the input fields and then continue to the next question. s Question Help Assume that there was no beginning inventory of either direct materials or finished units. During the month, materials purchased amounted to 100,600 lb., at a total cost of $533,180. Input price variances are isolated upon purchase. Input-efficiency variances are isolated at the time of usage The Livingston Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor: : (Click the icon to view the standards.) The number of finished units budgeted for January 2020 was 10,060; 9,950 units were actually produced. (Click the icon to view actual data.) Read the requirements Requirement 1. Compute the January 2020 price and efficiency variances of direct materials and direct manufacturing labor. Standards Let's begin by calculating the actual input at the budgeted price. (Round your answers to the nearest whole dollar.) Cost Actual input 100600 Budgeted price 5.20 = 523120 $ 52.00 Direct materials (purchases) Direct materials (usage) Direct manufacturing labor 98500 5.20 512200 Direct materials: 10 lb. at $5.20 per lb. Direct manufacturing labor: 0.5 hour at $32 per hour 16.00 4800 32 153600 Print Done Next determine the formula and calculate the costs for the flexible budget. Budgeted input for actual output Budgeted price Flexible budget cost Direct materials Direct manufacturing labor Now compute the price and efficiency variances for direct materials and direct manufacturing labor. Label each variance as favorable (F) or unfavorable (U). - Actual Data - X Price Efficiency variances Actual results in January 2020 were as follows: variances Direct materials: 98,500 lb. used Direct materials Direct manufacturing labor: 4,800 hours $ 160,800 Direct manufacturing labor Print Done Requirement 2. Prepare journal entries to record the variances in requirement 1. Prepare the journal entry for the direct materials price variance. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit Choose from any list or enter any number in the input fields and then continue to the next question. ? Assume that there was no beginning inventory of either direct materials or finished units. During the month, materials purchased amounted to 100,600 lb., at a to cost of $533,180. Input price variances are isolated upon purchase. Input-efficiency variances are isolated at the time of usage. The Livingston Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor: (Click the icon to view the standards.) The number of finished units budgeted for January 2020 was 10,060; 9,950 units were actually produced. BE (Click the icon to view actual data.) Read the requirements Standards - X Next prepare the journal entry for direct materials efficiency variance. Journal Entry Direct materials: 10 lb. at $5.20 per lb. Direct manufacturing labor: 0.5 hour at $32 per hour $ 52.00 16.00 Date Accounts Debit Credit Print Done Actual Data Now prepare the journal entry for direct manufacturing labor price and efficiency variances Journal Entry Date Accounts Debit Credit Actual results in January 2020 were as follows: Direct materials: 98,500 lb. used Direct manufacturing labor: 4,800 hours $ 160,800 Print Done Requirement 3. Comment on the January 2020 price and efficiency variances of Livingston Corporation. A key point is that likely to be They are so Fluctuations about standards are bound to occur in a fashion. Practically, from a control viewpoint, a standard is a band or range of acceptable performance rather than a single-figure measure. Requirement 4. Why might Livingston calculate direct materials price variances and direct materials efficiency variances with reference to different points in time? The purchasing point is where responsibility for V is found most often. The production point is where responsibility for V is found most often. Livingston Corporation may calculate variances at different points in time to tie in with Choose from any list or enter any number in the input fields and then continue to the next