Refer to Exhibit 14.8 and the accompanying discussion in the text. EXHIBIT 14.8 A Detailed Comparison of
Question:
EXHIBIT 14.8
A Detailed Comparison of
Actual Variable Costs and Flexible-Budget Variable Costs
Demonstrate that the purchase-price variance for PVC during 2010 was$720U.
Transcribed Image Text:
SCHMIDT MACHINERY COMPANY October 2010 Product XV-1 Units Manufactured: 780 Actual Variable Costs Incurred Direct materials: Aluminunm 3,630 pounds* at $26 per pound 720 pounds at $41 per pound 3,510 hours at $42 per hour $94,380 29,520 PVC Direct labor Variable factory overhead Total variable cost of goods manufactured Variable selling and administrative expenses $123,900 147,420 40,630 S311,950 39,000 S350,950 Total variable costs incurred Flexible Budget for Variable Costs Direct materials: Aluminunm 780 units x 4 pounds x $25 = $78,000 PVC Direct labor Variable factory overhead Total standard variable cost of goods manufactured Variable selling and administrative expenses 780 units x 1 pound x $40 31,200 $109,200 156,000 46,800 S312,000 39,000 $351,000 780 units x 5 hours x $40 780 units x 5 hours x $12 Total flexible budget variable costs Flexible-Budget Variances Direct materials: $94,380 $78,000 $16,380UT Aluminum PVC 29,520 -31,2001,680F $14,700U 8,580F 6,170F $ 50F 47,420 156,000 Direct labor Variable factory overhead 40,630 46,800 Variable manufacturing cost flexible-budget variance Variable selling and administrative expense variance Variable cost flexible-budget variance (see Exhibit 14.6) $ 50F Assume that Ibs. purchased Ibs. used. U denotes an unfavorable varlance. F denotes a avorable varlance.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 53% (13 reviews)
Nte Requirement 1 nd 2 re bth mentined s diret mterils usge quntity vrine Ki...View the full answer
Answered By
Antony Mutonga
I am a professional educator and writer with exceptional skills in assisting bloggers and other specializations that necessitate a fantastic writer. One of the most significant parts of being the best is that I have provided excellent service to a large number of clients. With my exceptional abilities, I have amassed a large number of references, allowing me to continue working as a respected and admired writer. As a skilled content writer, I am also a reputable IT writer with the necessary talents to turn papers into exceptional results.
4.50+
2+ Reviews
10+ Question Solved
Related Book For
Cost management a strategic approach
ISBN: 978-0073526942
5th edition
Authors: Edward J. Blocher, David E. Stout, Gary Cokins
Question Posted:
Students also viewed these Management Leadership questions
-
Refer to Exhibit 14.8 and the accompanying discussion in the text. Demonstrate that the materials usage variance for PVC during October 2019 was $2,400F. SCHMIDT MACHINERY COMPANY Income Statement...
-
Refer to Exhibit 14.8 and the accompanying discussion in the text. Demonstrate that the purchaseprice variance for PVC during October 2019 was $720U. SCHMIDT MACHINERY COMPANY Income Statement For...
-
Review Exhibit 9.5 and the accompanying discussion on search, experience, and credence attributes of offerings. a. Why are the types of offerings on the far right side of the continuum professional...
-
Why do most cities in the United States now have more radios but fewer radio repair shops than they did in 1960?
-
The reaction of N-bromosuccinimide with the following compounds has been reported in the chemical literature. Each compound yields a single product in 95% yield. Identify the product formed from each...
-
MailMed Inc. (MMI), a pharmaceutical firm, provides discounted prescription drugs through direct mail. MMI has a small systems staff that designs and writes MMIs customized software. Until recently,...
-
Why petrol engines are called S.I. engines and why diesel engines are called C.I. engines.
-
Project managers consider authority and funding as being very important in gaining support. Functional personnel, however, prefer friendship and work assignments. How can these two outlooks be...
-
Calculate y" and "". y(x) = 6ex == X y" (x) = y" (x) =
-
The scores for two within-term examinations, X1 and X2; the current grade point average (GPA), X3; and the final exam score, Y, for 20 students in a business statistics class are listed in Table...
-
Refer to Exhibit 14.8 and the accompanying discussion in the text. EXHIBIT 14.8 A Detailed Comparison of Actual Variable Costs and Flexible-Budget Variable Costs Demonstrate that the materials usage...
-
Refer to Exhibit 14.8 and the accompanying discussion in the text. EXHIBIT 14.8 A Detailed Comparison of Actual Variable Costs and Flexible-Budget Variable Costs Demonstrate that the flexible-budget...
-
To become more familiar with these assurance services opportunities, visit the AICPA's website (www.aicpa.org) and enter "trust services principles" in the search box to locate information about the...
-
Is the following article a true depiction of our schools and their issues and needs? What would you add to the narrative? What changes would you suggest for our schools/districts to better allocate...
-
The prostate-specific antigen (PSA) test measures blood concentrations of PSA, a protein produced by the prostate gland. Higher PSA levels can occur in the presence of prostate cancer, but definitive...
-
Based on the set of data above, the financial adviser has identified the following principal activities, their relevant costs, and activity cost drivers : Cost groups Admission-related costs. Surgery...
-
Select all that are not true Having televisions on where customers can see and hear them only serves to frustrate those in line Waiting in a longer line with a chance that the agent will allow you to...
-
Identify a true statement about the rules of taxation for partnerships. Multiple choice question. Partners are exempted from paying tax on their share of partnership income if it has not been...
-
You are interested in creating the following gross payoff profile using an options portfolio: What options, at what strikes, would you hold in your portfolio? Assume that the desired payoffs are zero...
-
The following processes constitute the air-standard Diesel cycle: 12: isentropic compression,23: constant-volume energy addition (T and P increase),34: constant-pressure energy addition (v...
-
Suppose the U.S. Congress is forced to increase taxes to pay for the cost of health care reform in the United States. Describe the effects of such a policy, according to the three business cycle...
-
In what ways can the capacity for self-management help you to prosper in a free-agent economy?
-
How does distributive justice differ from procedural justice?
-
What are the three Spotlight Questions that people can use for double-checking the ethics of a decision?
-
According to the Google, Inc. Privacy Policy Litigation, on what date did Google announce their new universal privacy policy?
-
alcolm and Brianna were married on December 15, 2022. They spent the remainder of the tax year in Paris, France. Malcolm is a lifelong resident of North Carolina. Brianna was a lifelong resident of...
-
You work for the strategy department at Bank of America. They have developed a new retirement investment product and are trying to figure out the most cost effective way to encourage customers to...
Study smarter with the SolutionInn App