Question

In: Accounting

Selling price is $10/tin. The cost is $8/tin This includes $6 of direct material and $1.50...

Selling price is $10/tin. The cost is $8/tin This includes $6 of direct material and $1.50 of direct labor. Direct labor is 1 hour per 100 tins. Annual manufacturing overhead is estimated at $100,000 for the expected sales of 200,000 tins. The breakdown for manufacturing overhead includes 85% of variable costs.

1a. What is the standard fixed manufacturing overhead cost per tin?

b. The Volume Variance is $750 Favorable. How many units were actually produced during the year?

c. How much is total budgeted fixed manufacturing overhead?

d. The Controllable Variance is $3250 Unfavorable. What was the total dollar amount for actual manufacturing overhead?

e. What are the total standard hours allowed for actual production?

6. The Labor Quantity Variance is $300 Unfavorable. How many total actual hours were worked?

7. What is the total standard cost of direct materials for total actual production?

8. Total Material Price Variance is $16,800 Unfavorable. What was the actual direct material cost for total actual production?

Solutions

Expert Solution

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

Selling price is $10/tin. The cost is $8/tin This includes $6 of direct material and $1.50...
Selling price is $10/tin. The cost is $8/tin This includes $6 of direct material and $1.50 of direct labor. Direct labor is 1 hour per 100 tins. Annual manufacturing overhead is estimated at $100,000 for the expected sales of 200,000 tins. The breakdown for manufacturing overhead includes 85% of variable costs. d. The Controllable Variance is $3250 Unfavorable. What was the total dollar amount for actual manufacturing overhead? e. Explain the calculation of the total standard hours allowed for actual...
Material Sampling – Analyzing Direct Material You are reviewing a cost proposal, which includes an $800,200...
Material Sampling – Analyzing Direct Material You are reviewing a cost proposal, which includes an $800,200 direct material estimate. After initial examination of the proposal, you note that there are 500 material items, but you also note that 20 high-cost items account for $620,000 of the total. The remaining $180,200 is spread across 480 relatively small purchases. Answer the following questions: 1. Examination of the 20 high-cost items (estimated at $620,000) shows that all are properly priced except one item....
Direct Material Price Variance, Direct Material Quantity Variance
The following data is given for the Taylor Company:Budgeted production 1,000 unitsActual production 980 unitsMaterials:Standard price per lb $2.00Standard pounds per completed unit 12Actual pounds purchased and used in production 11,800Actual price paid for materials $23,000Labor:Standard hourly labor rate $14 per hourStandard hours allowed per completed unit 4.5Actual labor hours worked 4,560Actual total labor costs $62,928Overhead:Actual and budgeted fixed overhead $27,000Standard variable overhead rate $3.50 per standard labor hourOverhead is applied on standard labor hours.The direct material prive variance is?...
What is the direct material volume variance, direct material efficiency variance, and the direct material price...
What is the direct material volume variance, direct material efficiency variance, and the direct material price variance? Are each of these favorable or unfavorable?   Use the following scenario to help answer these questions: DeFleur manufactures bicycles. The bicycles are manufactured in two divisions. In the framing division, the carbon bicycle frames are manufactured. In the assembly division, the components are assembled to the frame and the bike is ready for sale. There is no market for the unassembled frames and...
direct material price variance
direct material price variance
Stick Collapsible Units Sold 60,000 3,000 Selling Price $12.50 $14.00 Direct Material Cost Per Unit $3.00...
Stick Collapsible Units Sold 60,000 3,000 Selling Price $12.50 $14.00 Direct Material Cost Per Unit $3.00 $3.10 Direct Labor Cost Per Hour $7.50 $8.00 Variable MO $0.40 $0.40 Variable Selling Costs $1.10 $1.10 Labor Hours Per Unit 0.2 0.2 Sales Orders 120 1 Purchase Orders 50 3 Production Runs 45 6 Material Moves 86 10 Machine Setups 130 6 Machine Hours 525 32 Inspections 200 10 Shipments 60 3 Activity Information from Instructions Activity Activity Cost Activity Cost Driver Order...
You are reviewing a cost proposal, which includes an $800,200 direct material estimate. After initial examination...
You are reviewing a cost proposal, which includes an $800,200 direct material estimate. After initial examination of the proposal, you note that there are 500 material items, but you also note that 20 high-cost items account for $620,000 of the total. The remaining $180,200 is spread across 480 relatively small purchases. Answer the following questions: 1. Examination of the 20 high-cost items (estimated at $620,000) shows that all are properly priced except one item. That item is overpriced by $20,000....
Sales $ 652,000 Direct labor cost $ 86,000 Raw material purchases $ 136,000 Selling expenses $...
Sales $ 652,000 Direct labor cost $ 86,000 Raw material purchases $ 136,000 Selling expenses $ 101,000 Administrative expenses $ 44,000 Manufacturing overhead applied to work in process $ 208,000 Actual manufacturing overhead costs $ 222,000 Inventories Beginning Ending Raw materials $ 8,700 $ 10,200 Work in process $ 5,800 $ 20,900 Finished goods $ 74,000 $ 25,800 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a...
Material and Labor Variances The following actual and standard cost data for direct material and direct...
Material and Labor Variances The following actual and standard cost data for direct material and direct labor relate to the production of 2,000 units of a product: Actual Costs Standard Costs Direct material 4,200 lbs. @ $4.90 4,000 lbs. @ $5.20 Direct labor 5,700 hrs. @ $9.30 6,000 hrs. @ $9.50 Determine the following variances: Do not use negative signs with any of your answers. Next to each variance answer, select either "F" for Favorable or "U" for Unfavorable. Materials...
Consider two products in the same product area: Sales price (per unit) Direct material cost Direct...
Consider two products in the same product area: Sales price (per unit) Direct material cost Direct labor cost Product 1 $62 $16 $14 Product 2 $78 $34 $12 Assuming the above unit price and costs remain unchanged, calculate the net operating profit margins of these products in 2009 and 2010 using the overhead allocation method as in the case. Which of the two products is more profitable? Overhead allocation rate 2009: .61 2010: .98\ I really need help understanding this....
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT