The following data for November have been provided by Hunn Corporation, a producer of precision drills for oil exploration: Budgeted production Standard machine-hours per drill Standard indirect labor Standard power Actual production Actual machine-hours. Actual indirect labor Actual power Indirect labor Power $ $ Variable Overhead Spending Variance 4,200 drills 9.5 machine-hours. 9.30 per machine-hour 2.90 per machine-hour 4,400 drills 35,850 machine-hours t Required: Compute the variable overhead spending variance for indirect labor and for power for November. Indicate whether each of the variances is favorable (F) or unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) $341,967 $ 96,700

The following data for November have been provided by Hunn Corporation, a producer of precision drills for oil exploration: Budgeted production Standard machine-hours per drill Standard indirect labor Standard power Actual production Actual machine-hours. Actual indirect labor Actual power Indirect labor Power $ $ Variable Overhead Spending Variance 4,200 drills 9.5 machine-hours. 9.30 per machine-hour 2.90 per machine-hour 4,400 drills 35,850 machine-hours t Required: Compute the variable overhead spending variance for indirect labor and for power for November. Indicate whether each of the variances is favorable (F) or unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) $341,967 $ 96,700

Name: Domestic The following data for November have been provided by Hunn Co
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Domestic The following data for November have been provided by Hunn Corporation, a producer of precision drills for oil exploration:Budgeted productionStandard machine-hours per drillStandard indirect laborStandard powerActual productionActual machin

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter9: Standard Costing: A Functional-based Control Approach

Section: Chapter Questions

Problem 3CE: Refer to Cornerstone Exercise 9.1. Guillermos Oil and Lube Company provided the following...

See similar textbooks

Similar questions

Refer to Cornerstone Exercise 9.1. Guillermos Oil and Lube Company provided the following information for the production of oil changes during the month of June: Actual number of oil changes performed: 980 Actual number of direct labor hours worked: 386 hours Actual rate paid per direct labor hour: 14.50 Standard rate per direct labor hour: 14.00 Required: 1. Calculate the direct labor rate variance (LRV) and the direct labor efficiency variance (LEV) for June using the formula approach. 2. Calculate the direct labor rate variance (LRV) and the direct labor efficiency variance (LEV) for June using the graphical approach. 3. Calculate the total direct labor variance for oil changes for June. 4. What if the actual wage rate paid in June was 12.40? What impact would that have had on the direct labor rate variance (LRV)? On the direct labor efficiency variance (LEV)?
Case: Mercurial Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 22,000 machine hours for the production cycle. Actual machine hours for the period were 22,500; 4,200 units were produced. Material purchased (107,000 pieces) P529,650 Material quantity variance P7,000 U Machine hours used (22,500 hours) VOH spending variance P100 U Actual fixed overhead P81,000 Actual labor cost P60,300 Actual labor hours 8,500 Mercurial Company’s standard costs are as follows: Direct material 25 pieces @ P5 per piece Direct labor 2.0 hours @ P7 per hour Variable overhead (applied on a machine hour basis) 5.2 hours @ P3.00 per hour Fixed overhead (applied on a machine hour basis) 5.2 hours @ P3.50 per hour Determine the following items: e. labor rate variance f. standard hours allowed for labor g. total standard cost of labor allowed h. labor…
Case:Mercurial Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 22,000 machine hours for the production cycle. Actual machine hours for the period were 22,500; 4,200 units were produced. Material purchased (107,000 pieces) P529,650 Material quantity variance P7,000 U Machine hours used (22,500 hours) VOH spending variance P100 U Actual fixed overhead P81,000 Actual labor cost P60,300 Actual labor hours 8,500 Mercurial Company’s standard costs are as follows: Direct material 25 pieces @ P5 per piece Direct labor 2.0 hours @ P7 per hour Variable overhead (applied on a machine hour basis) 5.2 hours @ P3.00 per hour Fixed overhead (applied on a machine hour basis) 5.2 hours @ P3.50 per hour Determine the following items: p. total overhead variance
The following data for November have been provided by Genghis Corporation, a producer of precision drills for oil exploration: Budgeted production 4,600 drills Standard machine-hours per drill 7.5 machine-hours Standard indirect labor $10.00 per machine-hour Standard power $3.10 per machine-hour Actual production 5,100 drills Actual machine-hours 35,660 machine-hours Actual indirect labor $370,784 Actual power $107,450 Required: Show your work. a. Compute the variable overhead rate variances for indirect labor for November. b. Compute the variable overhead rate variances for power for November. c. Compute the variable overhead efficiency variances for indirect labor for November. d. Compute the variable overhead efficiency variances for power for November. Indicate whether each of the variances is favorable (F) or unfavorable (U). Input all amounts as positive values. answer all with all work answer all answer all answer all with…
Case:Mercurial Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 22,000 machine hours for the production cycle. Actual machine hours for the period were 22,500; 4,200 units were produced. Material purchased (107,000 pieces) P529,650 Material quantity variance P7,000 U Machine hours used (22,500 hours) VOH spending variance P100 U Actual fixed overhead P81,000 Actual labor cost P60,300 Actual labor hours 8,500 Mercurial Company’s standard costs are as follows: Direct material 25 pieces @ P5 per piece Direct labor 2.0 hours @ P7 per hour Variable overhead (applied on a machine hour basis) 5.2 hours @ P3.00 per hour Fixed overhead (applied on a machine hour basis) 5.2 hours @ P3.50 per hour Determine the following items: d. actual quantity of material usedh. labor efficiency variancei. actual variable overhead incurred
Case:Mercurial Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 22,000 machine hours for the production cycle. Actual machine hours for the period were 22,500; 4,200 units were produced. Material purchased (107,000 pieces) P529,650 Material quantity variance P7,000 U Machine hours used (22,500 hours) VOH spending variance P100 U Actual fixed overhead P81,000 Actual labor cost P60,300 Actual labor hours 8,500 Mercurial Company’s standard costs are as follows: Direct material 25 pieces @ P5 per piece Direct labor 2.0 hours @ P7 per hour Variable overhead (applied on a machine hour basis) 5.2 hours @ P3.00 per hour Fixed overhead (applied on a machine hour basis) 5.2 hours @ P3.50 per hour Determine the following items: j. standard machine hours allowedk. variable overhead efficiency variancel. budgeted fixed overhead
Case:Mercurial Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 22,000 machine hours for the production cycle. Actual machine hours for the period were 22,500; 4,200 units were produced. Material purchased (107,000 pieces) P529,650 Material quantity variance P7,000 U Machine hours used (22,500 hours) VOH spending variance P100 U Actual fixed overhead P81,000 Actual labor cost P60,300 Actual labor hours 8,500 Mercurial Company’s standard costs are as follows: Direct material 25 pieces @ P5 per piece Direct labor 2.0 hours @ P7 per hour Variable overhead (applied on a machine hour basis) 5.2 hours @ P3.00 per hour Fixed overhead (applied on a machine hour basis) 5.2 hours @ P3.50 per hour Determine the following items: m. applied fixed overheadn. fixed overhead spending varianceo. volume variance
Case: Mercurial Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 22,000 machine hours for the production cycle. Actual machine hours for the period were 22,500; 4,200 units were produced. Material purchased (107,000 pieces) P529,650 Material quantity variance P7,000 U Machine hours used (22,500 hours) VOH spending variance P100 U Actual fixed overhead P81,000 Actual labor cost P60,300 Actual labor hours 8,500 Mercurial Company’s standard costs are as follows: Direct material 25 pieces @ P5 per piece Direct labor 2.0 hours @ P7 per hour Variable overhead (applied on a machine hour basis) 5.2 hours @ P3.00 per hour Fixed overhead (applied on a machine hour basis) 5.2 hours @ P3.50 per hour Determine the following items: a. material purchase price variance b. standard quantity allowed for material c. total standard cost of…
Coe Parts applies fixed overhead at the rate of $6.82 per unit. Budgeted fixed overhead was $198,600. This month 28,240 units were produced, and actual fixed overhead was $193,490. Required: a. What are the fixed overhead price and production volume variances for Coe Parts? b. What was budgeted production for the month? Complete this question by entering your answers in the tabs below. Required A Required B Jhm What are the fixed over ad price and production volume variances for Coe Parts? Note: Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Do not round your intermediate calculations. Round your final answers to the nearest dollar. Fixed overhead price variance Fixed overhead production volume variance Required A Required B >
Required A Required B What was budgeted production for the month? Budgeted production units
The following labor standards have been established for a particular product: Standard labor hours per unit of output Standard labor rate The following data pertain to operations concerning the product for the last month: Actual hours worked Actual total labor cost Actual output Required: a. What is the labor rate variance for the month? 6,700 hours $ 134,000 a. Labor rate variance b. Labor efficiency variance 4.1 hours $19.90 per hour 1,600 units b. What is the labor efficiency variance for the month? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)
Magnetic Company has made the following information available for its production facility for the current month. Fixed overhead was estimated at 19,000 machine hours for the production cycle. Actual machine hours for the period were 18,900, which generated 3,900 units. Material purchased (80,000 pieces) P314,000 Material quantity variance P6,400 U Machine hours used (18,900 hours) VOH spending variance P50 U Actual fixed overhead P60,000 Actual labor cost P40,120 Actual labor hours 5,900 Magnetic Company’s standard costs are as follows: Direct material 20 pieces @ P4 per piece Direct labor 1.5 hours @ P6 per hour Variable overhead (applied on a machine hour basis) 4.8 hours @ P2.50 per hour Fixed overhead (applied on a machine hour basis) 4.8 hours @ P3 per hour Determine the following items: a. labor rate variance b. standard hours allowed for labor…