Western Manufacturing produces a single product. The original budget for April was based on expected production...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Western Manufacturing produces a single product. The original budget for April was based on expected production of 15,000 units; actual production for April was 13,500 units. The original budget and actual costs incurred for the manufacturing department follow: Direct materials Direct labor Variable overhead Fixed overhead Total Required: Original Budget Actual Costs $ 232,500 192,000 96,750 71,000 $ 211,500 168,200 82,300 75,000 $ 592,250 $ 537,000 Prepare an appropriate performance report for the manufacturing department. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Item Original Budget (15,000 units) Flexed Budget (13,500 units) Actual Cost Variance Direct materials $ 232,500 $ 209,250 $211,500 $21,000 F Direct labor 192,000 172,800 168,200 23,800 F Variable overhead 96,750 Fixed overhead 71,000 87,075 63,900 82,300 14,450 F 75,000 4,000 F Total $ 592,250 $ 533,025 $ 537,000 $ 63,250 F Western Manufacturing produces a single product. The original budget for April was based on expected production of 15,000 units; actual production for April was 13,500 units. The original budget and actual costs incurred for the manufacturing department follow: Direct materials Direct labor Variable overhead Fixed overhead Total Required: Original Budget Actual Costs $ 232,500 192,000 96,750 71,000 $ 211,500 168,200 82,300 75,000 $ 592,250 $ 537,000 Prepare an appropriate performance report for the manufacturing department. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Item Original Budget (15,000 units) Flexed Budget (13,500 units) Actual Cost Variance Direct materials $ 232,500 $ 209,250 $211,500 $21,000 F Direct labor 192,000 172,800 168,200 23,800 F Variable overhead 96,750 Fixed overhead 71,000 87,075 63,900 82,300 14,450 F 75,000 4,000 F Total $ 592,250 $ 533,025 $ 537,000 $ 63,250 F
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
The OrbitTrack Company specializes in developing and selling a wide range of high-quality scooters. Sales representatives report that there is a growing demand for racing scooters. OrbitTrack's...
-
Evaluate the following items, and determine the correct amount to report on the income statement for each, using the accrual basis of accounting for the referenced period of time. (question 1)...
-
What is the present value of a perpetuity of $4000 per year if the appropriate discount rate is 11%?
-
Compute the missing amounts in the following financial statements. You may assume that accounts receivable relate only to credit sales and that accounts payable relate only to credit purchases of...
-
Wells Fargo & Company, headquartered in San Francisco, is one of the nations largest financial institutions. It reported the following selected accounts (in millions) as of December 31, 2006....
-
Mike Smith is a friend of yours who has worked at a number of restaurants. He has always wanted to own his own business and his dream can now come true because he just won $0.96 million in a lottery....
-
An airline can reconfigure the seating in an aircraft to respond to demand and to maximise revenue. The seating is arranged in rows and can be configured in different classes which have more or fewer...
-
Why did the U.S government change its treatment of income earned by foreign subsidiaries of U.S. corporations? Eager to benefit from the economic growth and the job creation that foreign direct...
-
How to enforce a settlement agreement?
-
What do you see as the basic advantages and disadvantages of each system? Assume you are the top HR manager for a large international firm. The head of your companys operation in Japan has just...
-
How does HRM in the United States differ from HRM in Japan? Assume you are the top HR manager for a large international firm. The head of your companys operation in Japan has just resigned...
-
How to draft a settlement agreement?
-
You received a schedule from Lucee, a new client of your firm. The schedule from your manager detailing the work he requires you to do are set out below. Schedule from Lucee dated 4 September 2018 I...
-
Consider a game of poker being played with a standard 52-card deck (four suits, each of which has 13 different denominations of cards). At a certain point in the game, six cards have been exposed. Of...
-
Rebecca Odin has the following details of her property, plant and equipment. She charges depreciation at 2% per annum on cost for buildings, 10% per annum on cost for machinery, 25% per annum on cost...
-
Deborah Urer owns a small bar. Her trial balance as at 30 June 2012 is set out below. You also have the following additional information. 1. Closing inventory is 6,250. 2. There is 200 owing for...
-
Why do you think that three different types of business enterprise (sole traders, partnerships and limited companies) exist?
Study smarter with the SolutionInn App