Metlock Company is evaluating its performance at year-end within its variable costing system. The company uses...
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Metlock Company is evaluating its performance at year-end within its variable costing system. The company uses standard costing and budgeted for $15,400 of fixed-MOH costs to support budgeted production of 3,200 units. The purchasing department couldn't get its hands on as many raw materials as it had hoped, so production was only 2,420 units this year. Variable manufacturing costs and variable operating costs were on-budget at $19 per unit and $1 per unit, respectively. Fortunately, the company sold all of this year's production plus its entire FG Inventory of 400 units from the prior year. This year's unit costs were the same as last year's. How much will Metlock report for its COGS this year? Will the company recognize a fixed-MOH volume variance this year? If there is a fixed-MOH volume variance, specify the amount and the sign. (Do not leave any answer field blank. Enter O for amounts.) COGS Fixed-MOH volume variance $ $ Metlock Company is evaluating its performance at year-end within its variable costing system. The company uses standard costing and budgeted for $15,400 of fixed-MOH costs to support budgeted production of 3,200 units. The purchasing department couldn't get its hands on as many raw materials as it had hoped, so production was only 2,420 units this year. Variable manufacturing costs and variable operating costs were on-budget at $19 per unit and $1 per unit, respectively. Fortunately, the company sold all of this year's production plus its entire FG Inventory of 400 units from the prior year. This year's unit costs were the same as last year's. How much will Metlock report for its COGS this year? Will the company recognize a fixed-MOH volume variance this year? If there is a fixed-MOH volume variance, specify the amount and the sign. (Do not leave any answer field blank. Enter O for amounts.) COGS Fixed-MOH volume variance $ $
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To calculate the cost of goods sold COGS for Metlock Company we need to consider the fixed manufactu... View the full answer
Related Book For
Cost Accounting A Managerial Emphasis
ISBN: 978-0133138443
7th Canadian Edition
Authors: Srikant M. Datar, Madhav V. Rajan, Charles T. Horngren, Louis Beaubien, Chris Graham
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