Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct materials: 4 pounds at $9 per pound Direct labor: 3 hours at $15 per hour Variable overhead: 3 hours at $6 per hour Total standard cost per unit $ 36 65 45 18 $ 99 The planning budget for March was based on producing and selling 26,000 units. However, during March the company actually produced and sold 31,000 units and incurred the following costs: a. Purchased 155,000 pounds of raw materials at a cost of $7.20 per pound. All of this material was used in production. b. Direct laborers worked 56,000 hours at a rate of $16 per hour. c. Total variable manufacturing overhead for the month was $524,720. 4. What is the materials quantity variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Input all amounts as positive values.) Materials quantity variance Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct materials: 4 pounds at $9 per pound Direct labor: 3 hours at $15 per hour Variable overhead: 3 hours at $6 per hour Total standard cost per unit $ 36 65 45 18 $ 99 The planning budget for March was based on producing and selling 26,000 units. However, during March the company actually produced and sold 31,000 units and incurred the following costs: a. Purchased 155,000 pounds of raw materials at a cost of $7.20 per pound. All of this material was used in production. b. Direct laborers worked 56,000 hours at a rate of $16 per hour. c. Total variable manufacturing overhead for the month was $524,720. 4. What is the materials quantity variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Input all amounts as positive values.) Materials quantity variance
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
Value Mapping Use the attached information to map the current state map and future state map. Jack's Taxes Jack is a CPA and maintains a practice in personal, self-employed and small business income...
-
Allied Paper Products, Inc. offers a restricted stock award plan to its vice presidents. On January 1, 2011, the company granted 16 million of its $1 par common shares, subject to forfeiture if...
-
Fraser is a full service yacht brokerage company, specializing in yachts over \(30 \mathrm{~m}\). Access the company's Web site (https://www. fraseryachts.com) and locate one of the yachts that is...
-
A house has a composite wall of wood, fiberglass insulation, and plaster board, as indicated in the sketch. On a cold winter day the convection heat transfer coefficients are ho = 60 W/m'2. K and hi...
-
Hickory Company manufactures two products-13,000 units of Product Y and 5,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering...
-
Peter owns 25,000 shares of Macros Inc., which corresponds to 1% of total shares of the company. Peter's shares are valued at $225,000 in total in the market now. By what percentage will the total...
-
Another term or description for natural variation is what?
-
A production process that exhibits only natural variation would be considered what?
-
Why would a consumer tolerate a certain amount of defectiveness in a product? When is this more common?
-
A major advantage of using SPT is the minimization of average flowtime. What is a disadvantage of the use of SPT?
-
A temperature sensor of \(10.5-\mathrm{mm}\) diameter experiences cross flow of water with a free stream temperature of \(80^{\circ} \mathrm{C}\) and variable velocity. Derive an expression for the...
-
Lauv Co. entered a long term project in 2012 that continued through 2013. Lauv Co. presently has available dependable and reliable estimates. As of 2025, Daniel billed 2/5 of the total contract...
-
Accounting policies and practices that are most important to the portrayal of the companys financial condition and results, and require managements most difficult, subjective, or complex judgments...
Study smarter with the SolutionInn App