Waiting for response fix O ? eztomheducation oomitm tpr? -o10114214388632659-152

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Waiting for response fix O ? eztomheducation oomitm tpr? -o10114214388632659-1523842525498 rsity Horne-BankMobile, tj UltiPro M Gmail w Equifax portal ? Power Bill R Linkedin office The following information applies to the questions displayed below Preble Company manufactures one product. Its varlable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows Direct matertal: 5 pounds at $10.00 per pound 50.00 Direct labor. 2 hours at $13.00 per hour Varlable overhead: 2 hours at $8.00 per hour 26.00 16.00 Total standard varlable cost per unt 92.00 The company also established the following cost formulas for its selling expenses Fixed Cost per Varlable C per Unit Solod Advertising Sales salaries and commissions Shipping expenses Month $400.000 $ 130,000 $ 3.00 The planning budget for March was based on producing and seling 32.000 units However, during March the company actually produced and sold 37,600 units and incurred the following costs o. Purchased 200.000 pounds of raw motensa's at a cost of $9 40 per pound All of this material was used in production b. Direct-laborers worked 65.000 hours at a rate of $14.00 per hour c. Total variable manufacturing overhead for the month wos $525.000 d. Total advertising, sales salaries and commissions, and shipping expenses were $416,000, $525.200, and $135,000, respectively ype here to search

Explanation / Answer

Ans. Raw material cost $1880000 *Calculation: Flexible budget is prepared on the basis of actual units produced and sold. Raw material cost ( flexible) = Standard cost of raw materials (on actual quantity) Raw materials cost = Actual quantity * Standard price 37600 * 50 1880000

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