pedDokintencesExercise 17-20 (Algo) Prorating Variable Overhead Cost Variances (LO 17-1)Volte Corporation produces small electric appliances. The following information is available for the most recentperiod of operations:Standard variable overhead rateActual outputActual direct labor-hours usedStandard direct labor-hoursActual direct labor cost incurredStandard direct labor-hour rateActual variable overhead incurredActual units sold20,140 units.Volte never has any work-in-process inventories and began the year with no finished goods inventory.$ 2.55 per direct labor-hour25,150 units34,6001.5 per unitRequired:a. and b. What was the variable overhead price variance and the variable overhead efficiency variance for theperiod?Req A and B.$ 829,000c. Assume that Volte writes off all variances to Cost of Goods Sold. Prepare the entries Volte would make torecord and close out the variances.d. Assume that volte prorates all variances to appropriate accounts. Prepare the entries Volte would make torecord and close out the variances.Req C$24$ 95,000Complete this question by entering your answers in the tabs below.Req D

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Description: pedDokintencesExercise 17-20 (Algo) Prorating Variable Overhead Cost Variances (LO 17-1)Volte Corporation produces small electric appliances. The following information is available for the most recentperiod of operations:Standard variable overhead r

Variable Overhead Efficiency Variance :— It is difference of standard variable overhead and actual…

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Volte Corporation produces small electric appliances. The following information is available for the most recent period of operations: $ 2.55 per direct labor-hour 25,150 units 34,600 1.5 per unit Standard variable overhead rate Actual output Actual direct labor-hours used. Standard direct labor-hours Actual direct labor cost incurred Standard direct labor-hour rate Actual variable overhead incurred Actual units sold 20,140 units Volte never has any work-in-process inventories and began the year with no finished goods inventory. $ 829,000 $ 24 $ 95,000 Required: a. and b. What was the variable overhead price variance and the variable overhead efficiency variance for the period? c. Assume that Volte writes off all variances to Cost of Goods Sold. Prepare the entries Volte would make to record and close out the variances. d. Assume that Volte prorates all variances to appropriate accounts. Prepare the entries Volte would make to record and close out the variances.

Volte Corporation produces small electric appliances. The following information is available for the most recent period of operations: $ 2.55 per direct labor-hour 25,150 units 34,600 1.5 per unit Standard variable overhead rate Actual output Actual direct labor-hours used. Standard direct labor-hours Actual direct labor cost incurred Standard direct labor-hour rate Actual variable overhead incurred Actual units sold 20,140 units Volte never has any work-in-process inventories and began the year with no finished goods inventory. $ 829,000 $ 24 $ 95,000 Required: a. and b. What was the variable overhead price variance and the variable overhead efficiency variance for the period? c. Assume that Volte writes off all variances to Cost of Goods Sold. Prepare the entries Volte would make to record and close out the variances. d. Assume that Volte prorates all variances to appropriate accounts. Prepare the entries Volte would make to record and close out the variances.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 9P: Grand Canyon Manufacturing Inc. produces and sells a product with a price of 100 per unit. The...

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