Required information Use the following information for the Problems below. (Algo) [The following information applies to the questions displayed below.] Trini Company set the following standard costs per unit for its single product Direct materials (30 pounds @ $5.00 per pound) Direct labor (7 hours @ $14 per hour) Variable overhead (7 hours @ $7 per hour) Fixed overhead (7 hours @ $9 per hour) Standard cost per unit Overhead is applied using direct labor hours. The standard overhead rate is based on a predicted activity level of 80% a the company's capacity of 51,000 units per quarter. The following additional information is available. Production (in units) Standard direct labor hours (7 DLH per unit) Budgeted overhead (flexible budget) Fixed overhead Variable overhead $ 150.00 98.00 49.00 63.00 $360.00 70% 35,700 249,900 $ 2,570,400 $ 1,749,300 Operating Levels 80% 40,800 285,600 Direct materials (1,377,000 pounds @ $5.00 per pound) Direct labor (321,300 hours @ $14 per hour) Overhead (321,300 hours @ $16 per hour) Standard (budgeted) cost Actual costs incurred during the current quarter follow. Direct materials (1,358,000 pounds @ $7.80 per pound) Direct labor (317,300 hours @ $11.00 per hour) Fixed overhead Variable overhead Actual cost $ 2,570,400 $ 1,999,200 During the current quarter, the company operated at 90% of capacity and produced 45,900 units; actual direct labor totaled 317,300 hours. Units produced were assigned the following standard costs. $ 6,885,000 4,498, 200 5,140,800 $ 16,524,000 90% 45,900 321,300 $ 10,592,400 3,490,300 2,448,500 2,292,300 $ 18,823,500 $ 2,570,400 $2,249,100 Problem 23-4A (Algo) Computing materials, labor, and overhead variances LO P3, P4
Required information Use the following information for the Problems below. (Algo) [The following information applies to the questions displayed below.] Trini Company set the following standard costs per unit for its single product Direct materials (30 pounds @ $5.00 per pound) Direct labor (7 hours @ $14 per hour) Variable overhead (7 hours @ $7 per hour) Fixed overhead (7 hours @ $9 per hour) Standard cost per unit Overhead is applied using direct labor hours. The standard overhead rate is based on a predicted activity level of 80% a the company's capacity of 51,000 units per quarter. The following additional information is available. Production (in units) Standard direct labor hours (7 DLH per unit) Budgeted overhead (flexible budget) Fixed overhead Variable overhead $ 150.00 98.00 49.00 63.00 $360.00 70% 35,700 249,900 $ 2,570,400 $ 1,749,300 Operating Levels 80% 40,800 285,600 Direct materials (1,377,000 pounds @ $5.00 per pound) Direct labor (321,300 hours @ $14 per hour) Overhead (321,300 hours @ $16 per hour) Standard (budgeted) cost Actual costs incurred during the current quarter follow. Direct materials (1,358,000 pounds @ $7.80 per pound) Direct labor (317,300 hours @ $11.00 per hour) Fixed overhead Variable overhead Actual cost $ 2,570,400 $ 1,999,200 During the current quarter, the company operated at 90% of capacity and produced 45,900 units; actual direct labor totaled 317,300 hours. Units produced were assigned the following standard costs. $ 6,885,000 4,498, 200 5,140,800 $ 16,524,000 90% 45,900 321,300 $ 10,592,400 3,490,300 2,448,500 2,292,300 $ 18,823,500 $ 2,570,400 $2,249,100 Problem 23-4A (Algo) Computing materials, labor, and overhead variances LO P3, P4
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter4: Accounting For Factory Overhead
Section: Chapter Questions
Problem 4P: Using the data in P4-2 and Microsoft Excel: 1. Separate the variable and fixed elements. 2....
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Actual costs incurred during the current quarter towow
Direct materials (1,358,000 pounds @ $7.88 per pound)
Direct labor (317,388 hours @ $11.90 per hour)
Fixed overhead
Variable overhead
Actual cost
Problem 23-4A (Algo) Computing materials, labor, and overhead
Complete this question by entering your answers in the tabs below.
Required:
1. Compute the direct materials variance, including its price and quantity variand
2. Compute the direct labor variance, including its rate and efficiency variances.
3. Compute the overhead controllable and volume variances.
Req 1
Req 2
Req 3
Controllable
Variance
Volume variance
Budgeted total overhead
Standard overhead applied
Volume variance
$ 18
Req 3 Volone
Varianc
2
Compute the overhead volume variances,
Note: Indicate the effect of the variance by selecting favorable, unfavorable, or no varia
Req 3 Controllable Variance
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Required information
Use the following information for the Problems below. (Algo)
[The following information applies to the questions displayed below.]
Trini Company set the following standard costs per unit for its single product
Direct materials (30 pounds @ $5.00 per pound)
$ 150.00
98.00
Direct labor (7 hours @ $14 per hour)
Variable overhead (7 hours @ $7 per hour)
Fixed overhead (7 hours @ $9 per hour)
Standard cost per unit
Production (in units)
Standard direct labor hours (7 DLH per unit)
Budgeted overhead (flexible budget)
Fixed overhead
Variable overhead
Overhead is applied using direct labor hours. The standard overhead rate is based on a predicted activity level of 80% of
the company's capacity of 51,000 units per quarter. The following additional information is available.
49.00
63.00
$360.00
70%
35,700
249,900
Direct materials (1,377,000 pounds @ $5.00 per pound)
Direct labor (321,300 hours @ $14 per hour)
Overhead (321,300 hours @ $16 per hour)
Standard (budgeted) cost
$ 2,570,400
$ 2,570,400
$ 1,749,300 $ 1,999, 200
Actual costs incurred during the current quarter follow.
Direct materials (1,358,000 pounds @ $7.80 per pound)
Direct labor (317,300 hours @ $11.00 per hour)
Fixed overhead
Variable overhead
Actual cost
Required:
Operating Levels
80%
40,800
285,600
During the current quarter, the company operated at 90% of capacity and produced 45,900 units; actual direct labor
totaled 317,300 hours. Units produced were assigned the following standard costs.
$6,885,000
4,498, 200
5,140,800
$ 16,524,000
Saved
$ 10,592,400
3,490,300
2,448,500
2,292,300
$ 18,823,500
90%
45,900
321,300
$ 2,570,400
$ 2,249, 100
Problem 23-4A (Algo) Computing materials, labor, and overhead variances LO P3, P4
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Transcribed Image Text:ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%
merica AS...
rk i
Required information
Use the following information for the Problems below. (Algo)
[The following information applies to the questions displayed below.]
Trini Company set the following standard costs per unit for its single product
Direct materials (30 pounds @ $5.00 per pound)
$ 150.00
98.00
Direct labor (7 hours @ $14 per hour)
Variable overhead (7 hours @ $7 per hour)
Fixed overhead (7 hours @ $9 per hour)
Standard cost per unit
Production (in units)
Standard direct labor hours (7 DLH per unit)
Budgeted overhead (flexible budget)
Fixed overhead
Variable overhead
Overhead is applied using direct labor hours. The standard overhead rate is based on a predicted activity level of 80% of
the company's capacity of 51,000 units per quarter. The following additional information is available.
49.00
63.00
$360.00
70%
35,700
249,900
Direct materials (1,377,000 pounds @ $5.00 per pound)
Direct labor (321,300 hours @ $14 per hour)
Overhead (321,300 hours @ $16 per hour)
Standard (budgeted) cost
$ 2,570,400
$ 2,570,400
$ 1,749,300 $ 1,999, 200
Actual costs incurred during the current quarter follow.
Direct materials (1,358,000 pounds @ $7.80 per pound)
Direct labor (317,300 hours @ $11.00 per hour)
Fixed overhead
Variable overhead
Actual cost
Required:
Operating Levels
80%
40,800
285,600
During the current quarter, the company operated at 90% of capacity and produced 45,900 units; actual direct labor
totaled 317,300 hours. Units produced were assigned the following standard costs.
$6,885,000
4,498, 200
5,140,800
$ 16,524,000
Saved
$ 10,592,400
3,490,300
2,448,500
2,292,300
$ 18,823,500
90%
45,900
321,300
$ 2,570,400
$ 2,249, 100
Problem 23-4A (Algo) Computing materials, labor, and overhead variances LO P3, P4
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