Exercise $16-52(Algo)(Appendix$ used $in$ requirement $[c])$ Comprehensive Cost Variance Analysis $(LO16-$

$5,6,7)$

The River Plant $of$ Carlisle, Incorporated produces a particular metal fixture used $in$ aerospace and maritime industries. The following

information $is$ available for the last operating month:

The plant produced and sold $28,888$ fixtures for $$72$ each. Budgeted production was $30,000$ fixtures.

Standard variable costs per fixture follow:

Fixed production overhead costs:

Monthly budget $$815,600$

Fixed overhead $is$ applied $at$ the rate $of$ $$30$ per fixture.

Actual production costs:

Required:

$a.$ Prepare a cost variance analysis for each variable cost for the River Plant.

$b.$ Prepare a fixed overhead cost variance analysis.

$c.(Appendix)$ Prepare the journal entries $to$ record the activity for the last period using standard costing. Assume that all variances are

closed $to$ Cost $of$ Goods Sold $at$ the end $of$ the operating period. Fixed overhead $is$ applied $at$ the rate $of$ $$30$ per fixture.

Actual production costs:

Pequired:

$.$ Prepare a cost variance analysis for each variable cost for the River Plant.

$-.$ Prepare a fixed overhead cost variance analysis.

$.(Appendix)$ Prepare the journal entries $to$ record the activity for the last period using standard costing. Assume that all variances are

losed $to$ Cost $of$ Goods Sold $at$ the end $of$ the operating period.

Complete this question $by$ entering your answers $in$ the $tabs$ below.

Required $B$

Required $C$

Prepare a fixed overhead cost variance analysis.

Note: Indicate the effect $of$ each variance $by$ selecting $"F"$ for favorable, $or"U"$ for unfavorable. $If$ there $isno$ effect, $do$ not

select either option. $(Appendix)$ Prepare the journal entries $to$ record the activity for the last period using standard costing. Assume that all variances are

closed $to$ Cost $of$ Goods Sold $at$ the end $of$ the operating period.

Note: $Ifno$ entry $is$ required for a transactio$\frac{n}{e}$vent, select $"No$ journal entry required" $in$ the first account field.

A Record entry for direct material costs payable and

material variances.

$B$ Record entry for direct labor costs payable and labor

variances.

$C$ Record the entry for variable overhead applied.

$D$ Record the entry for variable overhead payable.

$E$ Record the variable overhead variances.

$F$ Record the entry for fixed overhead applied.

$G$ Record the entry for fixed overhead payable.

Note: $=$ journal entry has been entered Required:

$a.$ Prepare a cost variance analysis for each variable cost for the River Plant.

$b.$ Prepare a fixed overhead cost variance analysis.

$c.(Appendix)$ Prepare the journal entries $to$ record the activity for the last period using standard costing. Assume that all variances are

closed $to$ Cost $of$ Goods Sold $at$ the end $of$ the operating period.

Complete this question $by$ entering your answers $in$ the $tabs$ below.

Required $A$

Required $C$

Prepare a cost variance analysis for each variable cost for the River Plant.

Note: Indicate the effect $of$ each variance $by$ selecting $"F"$ for favorable, $or"U"$ for unfavorable. $If$ there $isno$ effect, $do$ not

select either option.