The company also established the following cost formulas for its selling expenses: Fixed Cost per Month $ 250,000 $ 200,000 Variable Cost per Unit Sold Advertising Sales salaries and connissions Shipping expenses $17.00 $ 8.00 5:13 The planning budget for March was based on producing and selling 19,000 units. However, during March the company actually produced and sold 24.000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $720 per pound. All of this material was used in production, b. Direct-laborers worked 60,000 hours at a rate of $15.00 per hour c. Total variable manufacturing overhead for the month was $336,600 d. Total advertising, sales salaries and commissions, and shipping expenses were $260,000, $480,000, and $165,000, respectively . ances Foundational 9-11 11. What is the variable overhead rote variance for March? (Indicate the effect of each variance by selecting "F" for favorable. "U" for unfavorable, and "None" for no effect (.e. zero variance.), Input the amount as a positive value) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct material: 6 pounds at $5.00 per pound Direct labor: 3 hours at $14 per hour Variable overhead: 3 hours at $5 per hour Total standard variable cost per unit $ 48.00 42.00 15.00 $105.00 40 The company also established the following cost formulas for its selling expenses Fixed cost Variable cost per Month per Unit Sold Advertising $ 250,000 Sales salaries and commissions $ 200,000 $17.00 Shipping expenses $ 3.00 The planning budget for March was based on producing and selling 19.000 units. However, during March the company actually produced and sold 24,000 units and incurred the following costs. a Purchased 160,000 pounds of raw materials at a cost of $720 per pound All of this material was used in production b. Direct laborers worked 60,000 hours at a rate of $15.00 per hour, Total variable manufacturing overhead for the month was $336,600 d. Total advertising, sales salaries and commissions, and shipping expenses were $260.000 $480.000, and $165.000 rospectively. Foundational 9-10 to What is the variable overhead efficiency variance for March? (Indicate the effect of each variance by selecting for favorable, "U" for unfavorable, and "None" for no effect zero variance Input the amount as a positive value) 18.000 Me HIN G 3 Next > 10 5 - o Type here to search O G ED s WO You received partial credit in the pre Exercise 9-9 Prepare a Report Showing Revenue and Spending Variances (L09-2) Lavage Rapide in a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides data concerning the company's costs Fixed cost Cost per Ponta Car Washed Cleaning wpplies 30.70 Electricity Maintenance opes and salaries 54,300 Depreciation $8.100 Sent $1,100 Aninistrative expenses $0.09 50.25 50.30 se. For example, electricity costs are $1500 per month plus $0.09 per car washed. The company expects to wash 8.300 cars in August and to collect an average of $6.10 per car washed The actuel operating results for August are as follow La Income Statement with the Actual cars washed 8. Een Centre els Electricity ten Wasalaries Depreciation | 6,310 2.1 2,115 7.150 1,500 2.1 1032 38.24 $23.500 Total Required Calculate the company revenue and spending vanances for August Indicate the effect of each variance by selecting for Tvora. U for alvorable, and "None" for no effective sero variance). Input all amountams positive values. Do not roved intermediave ellation) ME GI Type here to search 6 31 - s 2
