Annie's Homemade's cost formula for salaries and wages includes managers' salaries of $7,000 per month plus wages of $8.00 per employee labor-hour in August, Annie's expected to staff 700 employee labor-hours, but actually staffed 780 labor-hours. Its actuall salaries and wages paid in August was $13,340. Required: Calculate the salaries and wages spending variance for August Salaries and wages spending vanance would be

Annie's Homemade's cost formula for salaries and wages includes managers' salaries of $7,000 per month plus wages of $8.00 per employee labor-hour in August, Annie's expected to staff 700 employee labor-hours, but actually staffed 780 labor-hours. Its actuall salaries and wages paid in August was $13,340. Required: Calculate the salaries and wages spending variance for August Salaries and wages spending vanance would be

Name: Munabhai Annie's Homemade's cost formula for salaries and wages includ
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Description: Munabhai Annie's Homemade's cost formula for salaries and wages includes managers' salaries of $7,000 per month plus wages of $8.00 peremployee labor-hour In August, Annie's expected to staff 700 employee labor-hours, but actually staffed 780 labor-h

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead

Section: Chapter Questions

Problem 15E: Calculating factory overhead The standard capacity of a factory is 8,000 units per month. Cost and...

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Marymount Company makes one product. In the month of April, it made 3,500 units. Workers were paid $32 per hour for labor, for a total of $718,848. The standard hours per unit are 6.4, and the standard labor wage rate is $38.40 per hour. A. What are the actual hours worked? B. What are the standard hours for the units made? C. What is the direct labor rate variance for April? D. What Is the direct labor time variance for April? E. What is the total direct labor variance for April?
If a factory operates at 100% of capacity one month, 90% of capacity the next month, and 105% of capacity the next month, will a different cost per unit be charged to the work-in-process account each month for factory overhead assuming that a predetermined annual overhead rate is used?
Using High-Low to Calculate Predicted Total Variable Cost and Total Cost for Budgeted Output Refer to the information for Pizza Vesuvio on the previous page. Assume that this information was used to construct the following formula for monthly labor cost. TotalLaborCost=5,237+(7.40EmployeeHours) Required: Assume that 675 employee hours are budgeted for the month of September. Use the total labor cost formula for the following calculations: 1. Calculate total variable labor cost for September. 2. Calculate total labor cost for September.
Calculating factory overhead The standard capacity of a factory is 8,000 units per month. Cost and production data follow: Calculate the amount of factory overhead allowed for the actual volume of production each month and the variance between budgeted and actual overhead for each month.
A company estimates its manufacturing overhead will be $840,000 for the next year. What is the predetermined overhead rate given each of the following Independent allocation bases? Budgeted direct labor hours: 90,615 Budgeted direct labor expense: $750000 Estimated machine hours: 150,000
Georgia Gasket Co. budgets 8,000 direct labor hours for the year. The total overhead budget is expected to amount to 20,000. The standard cost for a unit of the companys product estimates the variable overhead as follows: The actual data for the period follow: Using the four-variance method, calculate the overhead variances. (Hint: First compute the budgeted fixed overhead rate.)
Greiner Company makes and sells high-quality glare filters for microcomputer monitors. John Craven, controller, is responsible for preparing Greiners master budget and has assembled the following data for the coming year. The direct labor rate includes wages, all employee-related benefits, and the employers share of FICA. Labor saving machinery will be fully operational by March. Also, as of March 1, the companys union contract calls for an increase in direct labor wages that is included in the direct labor rate. Greiner expects to have 5,600 glare filters in inventory on December 31 of the current year, and has a policy of carrying 35 percent of the following month's projected sales in inventory. Information on the first four months of the coming year is as follows: Required: 1. Prepare the following monthly budgets for Greiner Company for the first quarter of the coming year. Be sure to show supporting calculations. a. Production budget in units b. Direct labor budget in hours c. Direct materials cost budget d. Sales budget 2. Calculate the total budgeted contribution margin for Greiner Company by month and in total for the first quarter of the coming year. Be sure to show supporting calculations. (CMA adapted)
Using Regression to Calculate Fixed Cost, Calculate the Variable Rate, Construct a Cost Formula, and Determine Budgeted Cost Refer to the information for Pizza Vesuvio on the previous page. Coefficients shown by a regression program for Pizza Vesuvios data are: Required: Use the results of regression to make the following calculations: 1. Calculate the fixed cost of labor and the variable rate per employee hour. 2. Construct the cost formula for total labor cost. 3. Calculate the budgeted cost for next month, assuming that 675 employee hours are budgeted. (Note: Round answers to the nearest dollar.) Use the following information for Brief Exercises 3-17 through 3-20: Pizza Vesuvio makes specialty pizzas. Data for the past 8 months were collected:
Using High-Low to Calculate Predicted Total Variable Cost and Total Cost for a Time Period That Differs from the Data Period Refer to the information for Pizza Vesuvio on the previous page. Assume that this information was used to construct the following formula for monthly labor cost. TotalLaborCost=5,237+(7.40EmployeeHours) Required: Assume that 4,000 employee hours are budgeted for the coming year. Use the total labor cost formula to make the following calculations: 1. Calculate total variable labor cost for the year. 2. Calculate total fixed labor cost for the year. 3. Calculate total labor cost for the coming year. Use the following information for Brief Exercises 3-17 through 3-20: Pizza Vesuvio makes specialty pizzas. Data for the past 8 months were collected:
Your Company's cost formula for its wages and salaries is $2,900 per month plus $475 per unit sold. For the month of May, the company planned for activity of 116 units, but the actual level of activity was 117 units. The actual wages and salaries for the month was $56,270. What is the spending variance for wages and salaries in May? O $1,730 F O $1,730 U O $2,205 F O $2,205 U
Tropic Inc. applies overhead based on machine hours. At the beginning of 2021 Tropic estimated overhead to be $400,000, machine hours to be 25,000, and direct labor hours to be 40,000. During May, Opal recorded 3,000 actual direct labor hours and 2,200 actual machine hours. If actual overhead cost for May os $33,750, what is the overhead variance for the month? please answer do not image.
Annie's Homemade's cost formula for salaries and wages includes managers' salaries of $7,000 per month plus wages of $8.00 per employee labor-hour. In August, Annie's expected to staff 700 employee labor-hours, but actually staffed 780 labor-hours. Required: Calculate the salaries and wages activity variance for August. X Answer is not complete. Salaries and wages activity variance would be Unfavorable