Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor $1.20 Indirect materials 0.90 Utilities 0.40 Fixed overhead costs per month are Supervision $3,600, Depreciation $1,300, and Property Taxes $700. The company believes it will normally operate in a range of 6,000- 10,500 direct labor hours per month. Assume that in July 2020, Myers Company incurs the following manufacturing overhead costs. Variable Costs Fixed Costs Indirect labor $10,530 Supervision $3,600 Indirect materials 7,970 Depreciation 1,300 Utilities 3,180 Property taxes 700 (a) Prepare a flexible budget performance report, assuming that the company worked 9,000 direct labor hours during the month. (List variable costs before fixed costs.) MYERS COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs Direct Labor Hours Variable Costs Indirect Labor Favorable 24 2$ Indirect Materials Favorable Utilities Favorable Total Variable Costs Favorable Fixed Costs 수 Supervision Neither Favorable nor Unfavorable Depreciation Neither Favorable nor Unfavorable Property Taxes Neither Favorable nor Unfavorable Total Fixed Costs Neither Favorable nor Unfavorable Total Costs Favorable (b) Prepare a flexible budget performance report, assuming that the company worked 8,500 direct labor hours during the month. (List variable costs before fixed costs.) MYERS COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs Direct Labor Hours Variable Costs Indirect Labor Unfavorable 24 2$ Indirect Materials Unfavorable Utilities Favorable Total Variable Costs Unfavorable Fixed Costs Supervision Neither Favorable nor Unfavorable Depreciation Neither Favorable nor Unfavorable Property Taxes Neither Favorable nor Unfavorable : Total Fixed Costs Neither Favorable nor Unfavorable : Total Costs Unfavorable Click if you would like to Show Work for this question: Open Show Work Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor $1.20 Indirect materials 0.90 Utilities 0.40 Fixed overhead costs per month are Supervision $3,600, Depreciation $1,300, and Property Taxes $700. The company believes it will normally operate in a range of 6,000- 10,500 direct labor hours per month. Assume that in July 2020, Myers Company incurs the following manufacturing overhead costs. Variable Costs Fixed Costs Indirect labor $10,530 Supervision $3,600 Indirect materials 7,970 Depreciation 1,300 Utilities 3,180 Property taxes 700 (a) Prepare a flexible budget performance report, assuming that the company worked 9,000 direct labor hours during the month. (List variable costs before fixed costs.) MYERS COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs Direct Labor Hours Variable Costs Indirect Labor Favorable 24 2$ Indirect Materials Favorable Utilities Favorable Total Variable Costs Favorable Fixed Costs 수 Supervision Neither Favorable nor Unfavorable Depreciation Neither Favorable nor Unfavorable Property Taxes Neither Favorable nor Unfavorable Total Fixed Costs Neither Favorable nor Unfavorable Total Costs Favorable (b) Prepare a flexible budget performance report, assuming that the company worked 8,500 direct labor hours during the month. (List variable costs before fixed costs.) MYERS COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs Direct Labor Hours Variable Costs Indirect Labor Unfavorable 24 2$ Indirect Materials Unfavorable Utilities Favorable Total Variable Costs Unfavorable Fixed Costs Supervision Neither Favorable nor Unfavorable Depreciation Neither Favorable nor Unfavorable Property Taxes Neither Favorable nor Unfavorable : Total Fixed Costs Neither Favorable nor Unfavorable : Total Costs Unfavorable Click if you would like to Show Work for this question: Open Show Work
Expert Answer:
Related Book For
Accounting Principles
ISBN: 978-1118875056
12th edition
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso
Posted Date:
Students also viewed these accounting questions
-
Prepare a flexible budget performance report title (in proper form) for Spalding Company for the calendar year 2009. Why is a proper title important for this or any report?
-
Prepare a flexible budget performance report title (in proper form) for Spalding Company for the calendar year 2015. Why is a proper title important for this or any report?
-
Variable Expenses Sales commissions Advertising Travel Delivery Fixed Expenses $10,870 Sales salaries 10,080 Depreciation 6,680 Insurance 3,450 Budget $35,500 7,500 1,400 (a) Prepare a flexible...
-
Translate the seven steps to Java code.
-
Again, consider the numerical example that we used to demonstrate the thinking of Adam Smith (page 36). When these countries open to free trade, is it possible that the free-trade equilibrium world...
-
What functions of the lymphatic system would be affected in a person born without a thymus?
-
Describe situations in which an organization should buy rather than build software components.
-
Oak Industries, a manufacturer of radio and cable TV equipment and an operator of subscription TV systems, had a multitude of problems. Subscription services in a market area, for which $ 12 million...
-
May 1 G. Gram invested $43,000 cash in the company in exchange for its common stock. May 1 The company rented a furnished office and paid $2,200 cash for May's rent. May 3 The company purchased...
-
Use the accounting equation to answer each of the following questions: (Round answers to the nearest whole dollar, e.g. 5,275.) (a) The liabilities of Sandhill Company are $122,000 and the owner's...
-
Write a summary-analysis essay on Fyodor Dostoyevsky, Notes from. Summarize the content briefly (under the subheading Plot Summary) and then analyze the story (under the subheading Analysis). In your...
-
Navy Federal Credit Union borrows $16000000 at 8% for 88 days from the large bank Citigroup. Find the interest and the future value of the loanOn September 30, Ace Hardware borrowed $129000 to...
-
How does socialization differ across cultures and societies, and what factors contribute to these variations?
-
A firm plans to buy an equipment worth $ 1 , 0 0 0 , 0 0 0 in 5 years MARCS class life. The depreciation rate is 2 0 % , 3 2 % , 1 9 . 2 % , 1 1 . 5 2 % , 1 1 . 5 2 % and 5 . 7 6 % from year 1 to...
-
Bob borrowed some money from Larry. He was supposed to pay Larry $1,000 5 months ago and another $800 2 months from today. Bob missed his first payment from 5 months ago. Larry is worried that Bob...
-
what are the promotional activities for the Bestpresales.com real estate software Date plan: what is your timetable for mobilization? Support & Administration: who and what shall be involved in its...
-
Required information Skip to question [The following information applies to the questions displayed below.] Lab Insight: An important internal control for cash is the reconciliation of the cash...
-
Which internal control principle is especially diffi cult for small organizations to implement? Why?
-
For 2017, Sale Company reported beginning total assets of $300,000 and ending total assets of $340,000. Its net income for this period was $50,000, and its net sales were $400,000. Compute the...
-
Given the basic accounting equation, answer each of the following questions. a. The liabilities of Weber Company are $120,000 and the owners equity is $232,000. What is the amount of Weber Companys...
-
On July 1, Raney Corporation purchases 500 shares of its $5 par value common stock for the treasury at a cash price of $9 per share. On September 1, it sells 300 shares of the treasury stock for cash...
-
How many oxygen atoms are bonded to the carbon of the carbonyl of an ester functional group? (a) none (b) one (c) two (d) three
-
Explain why caprylic acid, CH 3 (CH 2 ) 6 COOH, dissolves in a 5, aqueous solution of sodium hydroxide but caprylaldehyde, CH 3 (CH 2 ) 6 CHO, does not dissolve. (a) With two oxygens, the caprylic...
-
Which would you expect to be more viscousa polymer made of long molecular strands or a polymer made of short molecular stands? Why? (a) long strands, because they tend to tangle among themselves (b)...
Study smarter with the SolutionInn App