You have a business manufacturing man-buns for depilous hipster wannabes (these man-buns have been referred to in the past as toupees). You produce these man-buns (MB) in batches of 100. Each MB has the following manufacturing standards (i.e., budgets):

	Direct materials	3.0 locks of hair	$12.00 per lock
	Direct labor	2.2 Direct Labor Hours	$18.00 per Direct Labor Hour
	Indirect materials		$375 per batch
	Other indirect manufacturing costs		$7,000 per month
	Normal output		10 batches per month
	Total capacity		12 batches per month

There is no beginning or ending inventory for WIP and Finished Goods. You have sufficient beginning direct material inventory of locks of hair that you do not need to purchase any during the month.

During April 2020 you made 11 batches of MBs and spent/incurred the following:

	Locks of hair	3,400 locks	$40,600 in total
	Direct labor	2,500 DLH	$44,800 in total
	Variable O/H (Indirect materials)		$4,021 in total
	Fixed O/H (Other indirect mfg costs)		$7,111 in total

REQUIRED:

1. Prepare an analysis of actual production costs for April compared to Budget-adjusted-for-output (Flex Budget). Identify the usage/efficiency, price/rate, spending, and volume variances as appropriate.
2. Record journal entries to record the use of direct materials, direct labor, and variable & fixed manufacturing overhead. (Post costs to WIP first, then transfer all of WIP to Finished Goods. Transfer all of Finished Goods to COGS remember there is no beginning or ending inventory for WIP or Finished Goods.)
3. You are in charge of all manufacturing overhead. Did you do a good job managing overhead in April? Why?