The actual variable costs are $26000 and the actual units produced total 300 and the actual direct labour hours total 600. If the budgeted hour per unit are 3 and the budgeted variable cost allocation rate is $25 and the budgeted units to be produced are 225. What is the rate Variance, Efficiency Variance and Flexible Budget variance is the allocate variable costs based on direct labour hours. Be sure to indicate whether the variances are favourable or unfavourable. For the toolbar, press ALT-P10 PC or ALT-IN-10 (Mad BI Arial
Q: costs of personnel 500,000 Outside consulting fees…
A: In Accounting it is very important to understand the cost which are included under research and…
Q: Portside Watercraft uses a job order costing system. During the month, Portside purchased $173,000…
A: Introduction: In job order costing, cost is assigned to individual job and by assignment of costs,…
Q: Question 2 of 34 While examining the accounts of Grandma Company on December 31, 2015, the following…
A: Introduction: Net income (NI), often known as net profits, is determined as sales minus the cost of…
Q: The following items are taken from the financial statements of Akram Company for the year ending…
A: Classified balance sheet is one of the important financial statement for business, which shows all…
Q: What is the goal of a tax audit? A. To make sure you paying your imposed fines B. To make sure…
A: Tax audit means audit of the information provided in tax returns like income and expenditure are…
Q: Subject: internal auditing - needs to perform control testing
A: Introduction: Auditors have a wide range of instruments at their disposal while doing an audit for a…
Q: JC Goods, Inc. has a profit margin of 10% and a total assets turnover of 0.30. The president…
A: The asset turnover ratio measures a company's assets' ability to generate income or sales. As an…
Q: Provide 3 unique problems with own solution on performance ratio below. Also provide textual…
A: In the context of the given question, we are required to provide the three performance ratios with…
Q: PROBLEM 3 On June 30, 2018, Upton Inc. sold $3,000,000 (face value) of bonds. The bonds are dated…
A: >Bonds Payable are the source of finance for the companies. >The bondholders are…
Q: Cost of goods sold is calculated to be:
A: Cost of Goods Sold Cost of goods sold is the total amount your business paid as a cost directly…
Q: Mrila corp had net income of P232,000. The weighted average common shares outstanding were 80,000.…
A: Earnings per share is a measure of profitability used to find out profit derived by the company for…
Q: 20.Which of the following is used to account for probable sales discounts, sales returns and…
A: The question is related to factoring. Factoring is an arrangement where Accounts Receivables are…
Q: The Edwards Lake Community Hospital balance sheet as of December 31, 2019, follows. EDWARDS LAKE…
A: You have posted multiple part question, so as per our policy only first three are answered. If you…
Q: Edwards Center for GNP Accounting, a nonprofit organization, receives a letter from a donor that…
A: As per the Rules of Journal entry there are 3 golden rules. Debit what comes in Credit what goes…
Q: On 1 January 2020, Moon Co entered into a five-year lease of equipment which has a remaining useful…
A: Lease is a contractual agreement under which one party gives its asset to another party for using…
Q: Question 5 of 34 In the blank to the left of each question, fill in the letter from the following…
A: Change in estimates is the situation where the condition or estimation of specific aspects related…
Q: Kruse Nonprofit has the following activity related to its property, plant, and equipment (PP&E)…
A: A cash flow statement shows the inflows and outflows of cash due to transactions of an enterprise.…
Q: Atlas Company acquired PPE on January 1, 2022 consisting of: Cost…
A: Depreciation- Depreciation is a technique for spreading out the expense of a tangible asset over the…
Q: Compare and contrast Partnership versus Sole Trader.
A: Introduction: A partnership is a contract between two or more people to run a business and share…
Q: All partners are insolvent. How much did C receive on the January 31, 20X2 cash distribution to the…
A: Peace Meal Distribution:— In this Method, Assets Assumed to be realised immediately at the time of…
Q: 2. The Cash generating unit of the Logitech Company is the electronic division. The said company…
A: The impairment loss is the amount charged to the profit or loss statement when the recoverable…
Q: Which of the following best describes the main goal of any audit or due diligence project? A. Make…
A: Due diligence refers to review, investigation as well as audit which is performed to confirm the…
Q: The following items were included in the inventory list of ABC Corp: Materials unused in the…
A: A manufacturing bussiness means any business that use raw materials, parts, components to process…
Q: Which of the following statements is true of raw materials? ) a) They are categorized as consumer…
A: Raw material known as Unprocessed material, that is basic material from which a final product to be…
Q: Required information [The following information applies to the questions displayed below.] Riverbend…
A: The company may purchase shares of another company. The company purchasing shares in another is…
Q: Allocating Liquidation Between Common Stockholders and Preferred Stockholders The Arcadia Company…
A: Introduction: A shareholder, also known as a stockholder, is someone who actually owns one share of…
Q: 9.On January 1, 2021, White Company acquired 25,000 shares of Black Company for P900,000. Black has…
A:
Q: What is the name of the book that NFP and government professionals need to be familiar with? A. The…
A: In 2018 The government accountability office released a new version of government auditing…
Q: 1 KPT Enterprises 2 COMPARITIVE INCOME STATEMENT 3 for years ended 31 December 4 5 Revenues and…
A: Net income is the amount earned by an entity after deducting the expenses from the revenues.
Q: Chapter 30 - Depletion Question 1-2. At the beginning of the year 2021, Wise Corp. purchased a…
A: In accordance with PFRS, the present value of dismantling cost and any costs that are incurred which…
Q: Visayas Corporation has one temporary difference at the end of 2020 that will reverse and cause…
A: Journal entry: The first step in accounting is a journal entry, which is used to record a business…
Q: FIFO & LIFO Beginning inventory, purchases, and sales data on Commodity A, as taken from Rich…
A: Inventory valuation method includes: First- in-first-out method Last-in- first- out method Weighted…
Q: he following book and fair values were available for Westmont Company as of March 1.…
A: In case of recording acquision entries,fair value needs to be taken not book value.Differerence…
Q: Select the balance sheet category where the items given would best typically appear. Items 1. Bond…
A: Introduction: The balance sheet is one of the most important financial statements a company will…
Q: ABC Company’s Job 123 for the manufacture of 2,000 bags was completed during June 2022 at the…
A: Total manufacturing costs of a job includes direct material costs, direct labour costs and factory…
Q: Western Corporation, a calendar year, accrual basis corporation, reported $500,000 of net income…
A: Income Tax The most accurate definition of income tax is the amount of tax that the government…
Q: What are the three broad classes of cash flows. Why this classification is needed?
A: Cash Flow Statement - The cash Flow Statement is the Statement that represents the inflow and…
Q: On January 1, 2018, HI company purchased P1,000,000, 12% bonds for P1,063,394, a price that yields…
A: 12% bonds[Financial Asset @FVTPL]…
Q: A, B, C, and D are partners, sharing earnings in the ratio of 3/21, 4/21, 6/21 and 8/21,…
A: Liquidation of Partnership: It means the end of the partnership and all the accounts are closed and…
Q: Presented below are transactions related to Concord Corporation. 1. 2. 3. (a) On December 3, Concord…
A: >Under perpetual inventory system, the Inventory account is updated after every purchase and…
Q: An example of a qualified benefit is an employer-subsidized cafeteria.
A: Cafeteria Plan: It is the plan / system which provide benefit to the employees in the tax rate. It…
Q: Mullis Corporation manufactures DVDs that sell for $5.20. Fixed costs are $35,000 and variable costs…
A: Breakeven point in Units = Fixed cost / Contribution margin per unit
Q: Scott Company purchased 30% of the ownership of Earnest Enterprises on January 1, 20X2, at…
A: As we know that if any company acquire shares of another company but not gettting full control over…
Q: 24.Jent Corp. purchased bonds at a discount of P10,000. Subsequently, Jent sold these bonds at a…
A: The gain on sale of bond is calculated with the help of following formula Gain on sale of bonds =…
Q: 5. During the end of the year, YGX Company presented the following information: Equipment…
A: The impairment loss is the permanent reduction in the value of the asset. The impairment loss arises…
Q: Why might one company have to complete more due diligence than another in a merger? A. None of…
A: Due diligence under the process of merger allow the buyer for confirming the pertinent information…
Q: On April 5, purchased merchandise on account from Sheffield Company for $26,400, terms 4/10, net/30,…
A: A Journal entry is a primary entry that records the financial transactions initially. The…
Q: Required: 1. Identify whether each investment should be classified as a short-term or long-term…
A: Long Term Investment :— Investment Hold for More than 1 year. Short Term Investment:— Investment…
Q: Cumberland Co. sells $919 of inventory to Hancock Co. for cash. Cumberland paid $673 for the…
A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…
Q: O Multiple product
A: Costing refers to the technique of calculating the cost incurred in a project such as budgets,…
Step by step
Solved in 4 steps
- A firm comparing the actual variable costs of producing 10,000 units with the total variable costs of a static budget based on 9,000 units would probably see a. no variances. b. small favorable variances. c. large unfavorable variances. d. large favorable variances. e. small unfavorable variances.Refer to Pearce Company Using the three-variance approach, what is the efficiency variance? A. $11,770 F B. $2,200 F C. $7,975 U D. $5,775 UVariance Industries, Ltd. creates problems for accounting students. At the end of the first quarter of 2021, you have been asked to prepare a variance analysis of the company's operations for the quarter recently ended. You have gathered the data below from the company's accounts and the static budget prepared in December 2020. Variable and fixed manufacturing overhead are allocated based on direct- labour dollars. Units manufactured and sold Sales revenue Variable costs Direct materials Direct labour Variable manufacturing overhead Total variable costs Contribution margin Fixed manufacturing overhead Operating income (loss) Actual results Static budget 10,000 12,000 $320,000 $50,000 125,000 29,000 204,000 116,000 73,000 43,000 $360,000 $60,000 120,000 24,000 204,000 156,000 72,000 84,000
- Required information [The following information applies to the questions displayed below.] Antuan Company set the following standard costs per unit for its product. Direct materials (3.0 pounds @ $4.00 per pound) Direct labor (1.8 hours @ $12.00 per hour) $ 12.00 21.60 33.30 Overhead (1.8 hours @ $18.50 per hour) Standard cost per unit $ 66.90 The standard overhead rate ($18.50 per direct labor hour) is based on a predicted activity level of 75% of the factory's capacity of 20,000 units per month. Following are the company's budgeted overhead costs per month at the 75% capacity level. Overhead Budget (75% Capacity) Variable overhead costs Indirect materials $ 15,000 Indirect labor 75,000 Power 15,000 Maintenance 30,000 135,000 Total variable overhead costs Fixed overhead costs Depreciation-Building 24,000 70,000 Depreciation-Machinery Taxes and insurance 16,000 Supervisory salaries 254,500 Total fixed overhead costs 364,500Antuan Company set the following standard costs per unit for its product. Direct materials (6 pounds @ $5 per pound) $ 30 Direct labor (2 hours @ $17 per hour) 34 Overhead (2 hours @ $18.50 per hour) 37 Standard cost per unit $ 101 The standard overhead rate ($18.50 per direct labor hour) is based on a predicted activity level of 75% of the factory's capacity of 20,000 units per month. Following are the company's budgeted overhead costs per month at the 75% capacity level. Overhead Budget (75% Capacity) Variable overhead costs $ 45,000 Indirect materials Indirect labor 180,000 Power 45,000 Maintenance 90,000 costs 360,000 Total var ble ove Fixed overhead costs. 24,000 80,000 Depreciation-Building Depreciation-Machinery Taxes and insurance Supervisory salaries. 12,000 79,000 Total fixed overhead costs 195,000 Total overhead costs $ 555,000 The company incurred the following actual costs when it operated at 75% of capacity in October. Direct materials (91,000 pounds @ $5.10 per pound) $…1.3 REQUIRED Use the information provided below to calculate the following variances. Each answer must indicate whether the variance is favourable or unfavourable. 1.3.1 Material quantity variance 1.3.2 Labour rate variance 1.3.3 Variable manufacturing overheads efficiency variance INFORMATION The standard variable costs per unit (with a standard quantity of 25 000 units), set by Kidman Manufacturers, for Product M are as follows: Materials Labour Variable overhead 4 kg at R10 per kg 2 hours at R20 per hour 2 hours at R12 per hour The actual costs for October 2022 are as follows: Materials Materials Labour Variable overhead 100 000 kg were purchased for R980 000 78 000 kg were used to produce 20 000 units of Product M 41 000 labour hours at R19.60 per hour R500 200 incurred
- Use the given data shown in the graph. A. What is the budgeted fixed cost per period? B. What is the budgeted variance cost per unit? C. What is the value of F (that is, the flexible budget for an activity of 8,000 units)? D. What is the flexible budget cost amount if the actual activity had been 16,000 units?a.Compute for the actual cost paid per kilogram b.Compute for the Labor Efficiency Variance Present your answer as 1000 FAVORABLE OR 1000 UNFAVORABLE if applicable Topic: Standard Costing and Variance AnalysisQUESTIONS If the actual fixed costs total $ 167000 with the actual number of units produced equal to 120 , and the budgeted fixed costs were $ 162000 and the budgeted units to be produced are 150 , and the hours per unit are 4 and total hours are 600 . What is the fixed costs rate variance , production volume variance the flexible budget variance and the over / under allocated fixed manufacturing overhead variance ? Indicate whether the variances are favourable or unfavourable .
- • The standard variable overhead costs budget for CTF of 800 units with detail information as follows: 3hours/unit and $20 per labour hour. • The actual variable overhead costs budget of 1,000 units with detail information as follows: 2.6hours/unit and 28$/labour hour. • Analyse the variable overhead costs variance → Do we need to set up a flexible budget in this case? Why?Can you help me interpret these results i)Revenue Variance, Price, and Volume Variance Revenue variance = Actual revenues – Static revenues = $2,200,000 - $1,9800,000 = $220,000 Price variance = Actual revenues – Flexible revenues =$2,2000,000 - $2,200,000 =$0 Volume variance = Flexible revenues – Static revenues =$2,200,000 - $1,980,000 = $220,000 ii) Cost Variance, Volume Variance and Management Variance Cost variance = Static cost - Actual cost =$1,350,000 -$1,625,000 = $-275,000 Volume = Static cost – Flexible costs = $1,350,000 - =$1,475,000 = $-125,000 Management variance = Flexible cost- Actual cost =$2,200,000 - 1,625,000 =$575,000 iii) Profit Variance Profit Variance= Actual Profit - Static Profit = 225,000 - 130,000 = 95,000 Revenue Variance = Actual Revenue - Static Revenue = 2, 200,000 - 1,980,000 = 220,000 Cost Variance = Static Cost - Actual Costs = 1,850,000 - 1,975,000 = (125,000) Can you help me interpret these resultsK Juda Recliners manufactures leather recliners and uses flexible budgeting and a standard cost system. Juda allocates overhead based on yards of direct materials. The company's performance report includes the following selected data: Data table X Sales Static Budget Actual Results (1,025 recliners) (1,005 recliners) (1,025 recliners x $515 each) (1,005 recliners x $480 each) $ 527 875 S 482 400 Variable Manufacturing Costs: Direct Materials (6,150 yds @ $8.90/ yd.) (6,300 yds @ $8.707 yd.) 54.735 54.810 Direct Labor (10,250 DLHr @ $11.30/DLHr) (9,850 DLHr @ $11.40/DLHr) 115 825 112 290 Variable Overhead (6,150 yds @ $5.107 yd.) 31,365 (6,300 yds. @$6.50/yd.) 40.950 Fixed Manufacturing Costs: Fixed Overhead Total Cost of Goods Sold 62,730 64,730 264,655 272,780 263,220 $ 209,620 Gross Profit