Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following data is given for the Bahia Company: Budgeted production (at 100% of normal capacity) 1,083 units Actual production 958 units Materials: Standard price

The following data is given for the Bahia Company:

Budgeted production (at 100% of normal capacity) 1,083 units
Actual production 958 units
Materials:
Standard price per pound $1.98
Standard pounds per completed unit 12
Actual pounds purchased and used in production 11,151
Actual price paid for materials $22,860
Labor:
Standard hourly labor rate $14.88 per hour
Standard hours allowed per completed unit 4.1
Actual labor hours worked 4,933.7
Actual total labor costs $75,239
Overhead:
Actual and budgeted fixed overhead $1,123,000
Standard variable overhead rate $26.00 per standard labor hour
Actual variable overhead costs $138,144
Overhead is applied on standard labor hours.

Round your final answer to the nearest dollar. Do not round interim calculations.

The fixed factory overhead volume variance is

a.$129,617 unfavorable

b.$129,617 favorable

c.$36,021 unfavorable

d.$36,021 favorable

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Peter Clarke

2nd Edition

9781907214240

More Books

Students also viewed these Accounting questions