Question
Fixed overhead was budgeted at P 500,000 and 25,000 direct labor hours were budgeted. IF FOH (Fixed Overhead) volume variance and FOH spending variance were
Fixed overhead was budgeted at P 500,000 and 25,000 direct labor hours were budgeted. IF FOH (Fixed Overhead) volume variance and FOH spending variance were P 15,000 (favorable) and P 16,000 (unfavorable), respectively, what is the FOH applied?
2- Segment X sells its product at SP of 300 per unit. Variable Cost to produce per unit is 120 per unit. Fixed cost is 100,000. X operates at full capacity. What is the minimum price that should be charged to another segment for each unit of product to be transferred?
Step by Step Solution
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Step: 1
To compute for the FOH Fixed Overhead applied we can use the following formula FOH Applied FOH Budge...
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Cornerstones of Managerial Accounting
Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman
2nd Canadian edition
978-0176721237, 978-0176530884
