WBFR you have completed so far. It does not indicate comple Required information
ID: 2515002 • Letter: W
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WBFR you have completed so far. It does not indicate comple Required information Use the following information for the Problems below. The following information applies to the questions displayed below. Trico Company set the following standard unit costs for its single product Direct materials (30 Ibs. $5.00 per Ib. Direct labor (7 hrs. $14 per hr.) Factory overhead-fixed (7 hrs. @ $9 per hr.) Total standard cost $150,00 98.00 49,0 63.00 $360.00 overhead-variable (7 hrs. s7 per hr.) The predetermined overhead rate is based on a planned operating volume of 80% of the productive capacity of 61,000 Operating Levels 70% 42, 700 298, 900 808 48,800 341,600 90% Production in units Standard direct labor hour:s Budgeted overhead 54, 900 384, 300 Fixed factory overhead S3,074, 400 $3,074,400 $3,074,400 S2,092,300 $2, 391,200 S2, 690,100 ariable factory overhead During the current quarter, the company operated at 90% of capacity and produced 54,900 units of product; actual direct labor totaled 316,300 hours. Units produced were assigned the following standard costs Direct materials (1,647,000 Ibs. $5.00 per 1b.) Direct labor (384, 300 hrs $14 per hr.) Factory overhead (384,300 hrs. $16 per hr, Total standard cost 8,235, 000 , 380, 200 6,118,800 S19,764,000 Actual costs incurred during the current quarter follow. Direct materials (1,364, 000 Ibs.sT.80 per 1b.) Direct labor (316, 300 hrs. 8 $11.10 per hr.) Fixed factory overhead costs variable factory overhead costs 310, 639, 200 3, 510, 930 2, 34B, 400 2. T42, 200 $19.240.730 KPrev 9 of9 Next A Highlight All Match Case Whole Words 7 of 12 matchesExplanation / Answer
Overhead controllable variance(fixed overheads)
Actual overhead - budgeted overhead per unit * Standard no of units produced
2348400 - 63*48800
2348400-3074400
= 726000 favourable
Overhead Voloume variance
Absorbed fixed overhead- budgeted overhead
3458700-3074400 = 384300 favourable
Absorbed factory overhead = overhead rate per unit*Actual production
63*54900= 3458700
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