The Rye Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct-cost categories direct materials and direct manufacturing labor. Variable manufacturing overhead is allocated to products on the basis of standard direct manufacturing labor-hours. Following is some budget data for the Rye Bread Company (Click the icon to view the budget data) The Rye Bread Company provides the following additional data for the year ended December 31, 2014 Click the icon to view the additional data) Read the Data Table X Data Table - X Requiremer The denomi Planned (budgeted output 3.800.000 baguettes Direct manufacturing labor use 0 02 hours per baguette Actual production 2.300.000 baguettes Requiremer Variable manufacturing overhead S 10.00 per direct manufacturing labor hour Direct manufacturing labor 40.600 hours Begin by a Actual variable manufacturing overhead 3527.800 Print Done Print Done Incurred Budgeted Rate Budget Overhead Variable MOH Now complete the 4-variance analysis using the amounts you calculated above. (if no variance exists leave the dollar value blank Label the variance as favorable (F)unfavorable (U) or never a variance (N)) Choose from any list or enter any number in the input fields and then continue to the next question The Rye Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two diect-cost categorias direct materials and direct manufacturing labor. Variable manufacturing overhead is allocated to Click the icon to view the budget data) The Rye Bread Company provides the following additional data for the year anded December 31, 2014 (Click the icon to view the additional data) Read the cements Requirement 1. What is the denominator level used for allocating variable manufacturing overhead? (That is, for how many direct manufacturing labor hours is Rye Bread budgering) The denominater level is 76.000 hours Requirement 2. Prepare a variance analysis of variable manufacturing overhead Begin by Calculating the following amounts for the variable overhead that will be used to calculate the variances Actualul Actual Costs Allocated Incurred Budgeted Rate Budget Overhead Variable MOH Now complete the 4-variance analysis using the amounts you calculated above. (if no variance exits leave the dollar value blank Label the variance as favorable (F). unfavorabile (U) or never a variance (N) The Rye Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct.cost categories direct materials and direct manufacturing labor. Variable manufacturing overhead is located to products on the basis of standard direct manufacturing labor hours. Following is some budget data for the Rye Bread Company Click the icon to view the budget data) The Rye Bread Company provides the following additional data for the year ended December 31, 2014 Click the icon to view the additional data) Read the resicemente Now complete the 4-variance analysis using the amounts you calculated above. (if no variance exists leave the dollar value blank. Label the variance as favorable (F), unfavorable (U) or never a variance (N)) 4.Variance Spending Efficiency Production Volume Analysis Variance Variance Variance Variable MOH Requirement 3. Discuss the variances you have calculated and give possible explanations for them The spending variance is because variable manufacturing overhead was than planned A possible explanation could be ain) energy rates relative to the rate per standard labor hour assumed in the flexible budget The officiency variance is because the actual number of direct manufacturing labor hours required was than the number of hours in the flexible budget Labor was officient in producing the baguettes tan management had anticipated in the budget. This could occur because of morate in the company, which could run from an increase in wages or an improvement in the compensation uchome
