Please do not give solution in image format thanku You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president hasasked that you review the company's costing system and "do what you can to help us get better control of our manufacturingoverhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would bean excellent first step in overhead planning and control.After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March:UtilitiesMaintenanceSuppliesIndirect laborDepreciationCost Formula$16,900 $0.19 per machine-hour$38,900+ $1.40 per machine-hour$0.60 per machine-hour$94,900$67,600$1.40 per machine-hourDuring March, the company worked 18,000 machine-hours and produced 12,000 units. The company had originally planned to work20,000 machine-hours during March.Required:1. Prepare a flexible budget for March.2. Prepare a report showing the spending variances for MarchUtilitiesMaintenanceSuppliesIndirect laborDepreciationActual Cost inMarch$ 22,500$ 60,700$ 11,800$ 123,800$ 69,300Complete this question by entering your answers in the tabs below.Required 1 Required 2Prepare a report showing the spending variances for March, (Indicate the effect of each variance by selecting "F" forfavorable, "U" for unfavorable, and "None" for no effect (.e., zero variance). Input all amounts as positive values.)FAB CorporationSpending VariancesFor the Month Ended March 311 During March, the company worked 18,000 machine-hours and produced 12,000 units. The compa20,000 machine-hours during March.Required:1. Prepare a flexible budget for March.2. Prepare a report showing the spending variances for March.Complete this question by entering your answers in the tabs below.Required 1Prepare a flexible budget for March. (Input all amounts as positive values.)FAB CorporationFlexible BudgetFor the Month Ended March 31Machine-hoursUtilitiesMaintenanceSuppliesIndirect laborDepreciationTotalRequired 1Required 2Required:1. Prepare a flexible budget for March.2. Prepare a report showing the spending variances for March.Complete this question by entering your answers in the tabs below.UtilitiesMaintenanceSuppliesIndirect laborDepreciationTotal< Required 1Required 2Prepare a report showing the spending variances for March. (Indate the effect of each variancfavorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amountsFAB CorporationSpending VariancesFor the Month Ended March 31UtilitiesMaintenanceSuppliesIndirect laborDepreciationRequired 2 >< Required 1You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garagasked that you review the company's costing system and "do what you can to help us get beoverhead costs." You find that the company has never used a flexible budget, and you suggean excellent first step in overhead planning and control.After much effort and analysis, you determined the following cost formulas and gathered the 1Cost Formula$16,900+ $0.19 per machine-hour$38,900+ $1.40 per machine-hour$0.60 per machine-hour$94,900+ $1.40 per machine-hour$67,600Required 2>Required:1. Prepare a flexible budget for March.2. Prepare a report showing the spending variances for March.Actual Cost inMarch$ 22,500$ 60,700$ 11,800$ 123,800$ 69,300During March, the company worked 18,000 machine-hours and produced 12,000 units. The cor20,000 machine-hours during March.

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Description: Please do not give solution in image format thanku You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president hasasked that you review the company's costing system and "do what you c

The variance is the difference between standard costs and actual costs for the production. The…

Business

Accounting

"You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Actual Cost in March $ 22,500 $ 60,700 $ 11,800 $ 123,000 $ 69,300 utilities Maintenance Supplies Indirect labor Depreciation Cost Formula $16,900 $0.19 per machine-hour $38,900 $1.40 per machine-hour $0.60 per machine-hour $94,900 $1.40 per machine-hour 167,600 During March, the company worked 18,000 machine-hours and produced 12,000 units. The company had originally planned to work 20,000 machine-hours during March.

"You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Actual Cost in March $ 22,500 $ 60,700 $ 11,800 $ 123,000 $ 69,300 utilities Maintenance Supplies Indirect labor Depreciation Cost Formula $16,900 $0.19 per machine-hour $38,900 $1.40 per machine-hour $0.60 per machine-hour $94,900 $1.40 per machine-hour 167,600 During March, the company worked 18,000 machine-hours and produced 12,000 units. The company had originally planned to work 20,000 machine-hours during March.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March Utilities $16,800 + $0.16 per machine-hour $ 21,800 Maintenance $38,000 + $1.40 per machine-hour $ 59,800 Supplies $0.40 per machine-hour $ 7,800 Indirect labor $94,700 + $1.80 per machine-hour $ 131,600 Depreciation $67,800 $ 69,500 During March, the company worked 18,000 machine-hours and produced 12,000 units. The company had originally planned to work 20,000…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March Utilities $16,800 + $0.16 per machine-hour $ 22,600 Maintenance $38,300 + $1.50 per machine-hour $ 69,600 Supplies $0.90 per machine-hour $ 22,300 Indirect labor $94,200 + $1.70 per machine-hour $ 137,600 Depreciation $68,300 $ 70,000 During March, the company worked 23,000 machine-hours and produced 17,000 units. The company had originally planned to work 25,000…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Utilities Maintenance Supplies Indirect labor. Depreciation Cost Formula $16,900 $0.14 per machine-hour $38, 300+ $1.30 per machine-hour $0.70 per machine-hour $94,700+ $1.50 per machine-hour $68, 100 Actual Cost in March $ 21,360 $ 56,800 $ 13, 100 $ 124, 100 $ 69,808 During March, the company worked 17,000 machine-hours and produced 11,000 units. The company had originally planned to work 19,000 machine-hours during…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Actual Cost in March $ 21,540 $ 52,900 Utilities Maintenance Supplies Indirect labor Depreciation Cost Formula $16,700 + $0.16 per machine-hour $38,200 + $1.10 per machine-hour $0.80 per machine-hour $94,200+ $1.40 per machine-hour $68, 200 $ 15,000 $ 121,700 $ 69,900 During March, the company worked 17,000 machine-hours and produced 11,000 units. The company had originally planned to work 19,000 machine-hours during March.…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Actual Cost in March $ 22,080 $ 78,500 $ 15,200 $ 133,000 $ 69,600 Cost Formula $16,100 + $0.19 per machine-hour $38,500 + $2.10 per machine-hour $0.70 per machine-hour $94,700 + $1.70 per machine-hour $67,900 Utilities Maintenance Supplies Indirect labor Depreciation During March, the company worked 20,000 machine-hours and produced 14,000 units. The company had originally planned to work 22,000 machine-hours during March.…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Utilities Maintenance Supplies Indirect labor Depreciation Cost Formula $17,000+ $0.12 per machine-hour $38,300+ $1.70 per machine-hour $0.50 per machine-hour During March, the company worked 16,000 machine-hours and produced 10,000 units. The company had originally planned to work 18,000 machine-hours during March. Required: 1. Calculate the activity variances for March. 2. Calculate the spending variances for March.…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March Utilities $16,300 + $0.11 per machine-hour $ 20,740 Maintenance $38,300 + $2.00 per machine-hour $ 80,100 Supplies $0.70 per machine-hour $ 16,600 Indirect labor $94,900 + $2.00 per machine-hour $ 143,800 Depreciation $68,000 $ 69,700 During March, the company worked 22,000 machine-hours and produced 16,000 units. The company had originally planned to work 24,000…
You have Just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step In overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Actual Cost in March $ 22, 200 $ 78, 300 $ 16,600 $ 128,600 $ 70,100 Cost Formula $16,800 + $0.15 per machine-hour $38,900 + $1.98 per machine-hour $0.70 per machine-hour $94,100 + $1.40 per machine-hour $68,400 Utilities Maintenance Supplies Indirect labor Depreciation During March, the company worked 22,000 machine-hours and produced 16,000 units. The company had originally planned to work 24,000 machine-hours during…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost FormulaActual Cost in MarchUtilities$17,000 + $0.12 per machine-hour$ 21,080Maintenance$38,500 + $1.30 per machine-hour$ 57,000Supplies$0.60 per machine-hour$ 11,200Indirect labor$94,500 + $1.60 per machine-hour$ 125,800Depreciation$68,300$ 70,000 During March, the company worked 17,000 machine-hours and produced 11,000 units. The company had originally planned to work 19,000 machine-hours during March. Required:1.…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March Utilities $16,000 + $0.12 per machine-hour $ 19,720 Maintenance $38,900 + $2.10 per machine-hour $ 66,300 Supplies $0.60 per machine-hour $ 9,400 Indirect labor $94,400 + $1.20 per machine-hour $ 114,500 Depreciation $67,800 $ 69,500 During March, the company worked 14,000 machine-hours and produced 8,000 units. The company had originally planned to work 16,000…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Utilities Maintenance Supplies Indirect labor Depreciation. Cost Formula $16,800+ $0.12 per machine-hour $38,700+ $2.10 per machine-hour $0.50 per machine-hour $94,600+ $1.40 per machine-hour $68,400 During March, the company worked 22,000 machine-hours and produced 16,000 units. The company had originally planned to work 24,000 machine-hours during March. Required: 1. Calculate the activity variances for March. 2.…
You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March Utilities $16,000 + $0.12 per machine-hour $ 19,720 Maintenance $38,900 + $2.10 per machine-hour $ 66,300 Supplies $0.60 per machine-hour $ 9,400 Indirect labor $94,400 + $1.20 per machine-hour $ 114,500 Depreciation $67,800 $ 69,500 During March, the company worked 14,000 machine-hours and produced 8,000 units. The company had originally planned to work 16,000…