You have recently passed the CPA Board Examination as a sole passer and have accepted a position with Villar Company, the manufacturer of a popular consumer product. During your first week on the job, the vice president has been favorably impressed with your work. She has been so impressed, in fact, that yesterday she called you into her office and asked you to attend the executive committee meeting this morning for the purpose of leading a discussion on the variances reported for last period. Anxious to favorably impress the executive committee, you took the variances and supporting data home last night to study.

On your way to work this morning, the papers were laying on the seat of your new, red convertible. As you were crossing a bridge on the highway, a sudden gust of wind caught the papers and blew them over the edge of the bridge and into the stream below. You managed to retrieve only one page, which contains the following information:

STANDARD COST SUMMARY

Direct materials, 6 pounds at P3	P18.00
Direct labor, 0.8 hours at P5	4.00
Variable overhead, 0.8 hours at P3	2.40
Fixed overhead, 0.8 hours at P7	5.60
Total	P30.00

	V A R I A N C E S R E P O R T E D
	Price/Rate	Spending	Efficiency	Volume
Materials	P 27,200 U		P 3,000 U
Labor	5,000 U		12,500 U
Variable OH		P 3,100 F	?
Fixed OH		3,000 U		P14,000 U

In addition, you determined the following total standard costs:

Direct materials	P 405,000
Direct labor	87,500
Variable overhead (applied to WIP during the period)	52,500
Fixed overhead	122,500

You recall that manufacturing overhead cost is applied to production on the basis of direct labor-hours and that all of the materials purchased during the period were used in production. Since the company uses JIT to control work flows, work in process inventories are insignificant and can be ignored.

It is now 8:30 A.M. The executive committee meeting starts in just one hour; you realize that to avoid looking like a bungling fool you must somehow generate the necessary backup data for the variances before the meeting begins. Without backup data it will be impossible to lead the discussion or answer any questions.

26. Determine the actual cost per pound of material purchased.

27. Determine the actual direct labor hours worked during the period.

28. Determine the actual variable manufacturing overhead cost incurred during the period.

29. Determine the total fixed manufacturing overhead cost in the companys flexible budget.

30. Determine the denominator hours for the last period used to compute the fixed overhead per unit.