The Rotations Corporation is a manufacturer of centrifuges. Fixed and variable manufacturing overheads are allocated to each centrifuge using budgeted assembly-hours. Budgeted assembly time is 2 hours per unit. The following table shows the budgeted amounts and actual results related to overhead for June 2017.

Required

1. Prepare an analysis of all variable manufacturing overhead and fixed manufacturing overhead variances using the columnar approach in Exhibit 8-4 (page 304).

2. Prepare journal entries for Rotations’ June 2017 variable and fixed manufacturing overhead costs and variances; write off these variances to Cost of Goods Sold for the quarter ending June 30, 2017.

3. How does the planning and control of variable manufacturing overhead costs differ from the planning and control of fixed manufacturing overhead costs?

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The Rotations Corporation (June 2017) ResultsBudget 150 $31.00 $15,510 $14,100 Number of centrifuges assembled and sold Hours of assembly time 220 396 time ariable manufacturing overhead costs Fked manufacturing overhead costs $12,693