OOOO$37,840 unfavorable.$14,000 unfavorable.$15,040 favorable.$17,280 favorable.$37,840 favorable. Bluecap Company uses a standard cost system and flexible budgets for control purposes. The following budgeted information pertains to2021Denominator volume-number of unitsDenominator volume-percent of capacityDenominator volume-standard direct labor hours (DLHS)Budgeted variable factory overhead cost at denominator volumeTotal standard factory overhead rate per DLH8,00080%Multiple Choice24,000$ 103,200$ 15.10During 2021, Bluecap worked 28,000 DLHs and manufactured 9,600 units. The actual factory overhead cost for the year was $14,000greater than the flexible budget amount for the units produced, of which $6,000 was due to fixed factory overhead. In preparing a budgetfor 2022 Bluecap decided to raise the level of operation to 90% of capacity (a level it considers to be "practical capacity), to manufacture9,000 units at a budgeted total of 27,000 DLHS.The total overhead variance in 2021 for Bluecap Company was:

Name: OOOO$37,840 unfavorable.$14,000 unfavorable.$15,040 favorable.$17,280
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: OOOO$37,840 unfavorable.$14,000 unfavorable.$15,040 favorable.$17,280 favorable.$37,840 favorable. Bluecap Company uses a standard cost system and flexible budgets for control purposes. The following budgeted information pertains to2021Denominator v

Variable overhead spending variance= [Actual Hours * (Standard Rate – Actual Rate)].

Answered: The total overhead variance in 2021 for…

Business

Accounting

The total overhead variance in 2021 for Bluecap Company was: Multiple Choice

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 13CE: Nashler Company has the following budgeted variable costs per unit produced: Budgeted fixed overhead...

See similar textbooks

Similar questions

Preparing a performance report Use the flexible budget prepared in P7-6 for the 31,000-unit level and the actual operating results listed below for the 31,000-unit level. Required: 1. Prepare a performance report. 2. List the major reasons why the actual operating income at 31,000 units differs from the master budget operating income at 30,000 units in Figure 7-12. 3. Given the level at which the company operated, how was its cost control? Item Direct materials: Direct labor:
Georgia Gasket Co. budgets 8,000 direct labor hours for the year. The total overhead budget is expected to amount to 20,000. The standard cost for a unit of the companys product estimates the variable overhead as follows: The actual data for the period follow: Using the four-variance method, calculate the overhead variances. (Hint: First compute the budgeted fixed overhead rate.)
Professional labor cost budget Based on the data in Exercise 13-5 and assuming that the average compensation per hour for staff is $36 and for partners is $300. prepare a professional labor cost budget for Day & Spieth, CPAs, for the year ending March 31. 20Y6. Use the following column headings:
Nashler Company has the following budgeted variable costs per unit produced: Budgeted fixed overhead costs per month include supervision of 98,000, depreciation of 76,000, and other overhead of 245,000. Required: 1. Prepare a flexible budget for all costs of production for the following levels of production: 160,000 units, 170,000 units, and 175,000 units. 2. What is the per-unit total product cost for each of the production levels from Requirement 1? (Round each unit cost to the nearest cent.) 3. What if Nashler Companys cost of maintenance rose to 0.22 per unit? How would that affect the unit product costs calculated in Requirement 2?
Refer to Cornerstone Exercise 8.6. Required: 1. Calculate the total budgeted cost of units produced for Play-Disc for the coming year. Show the cost of direct materials, direct labor, and overhead. 2. Prepare a cost of goods sold budget for Play-Disc for the year. 3. What if the beginning inventory of finished goods was 75,200 (for 16,000 units)? How would that affect the cost of goods sold budget? (Assume Play-Disc uses the FIFO method.) Play-Disc makes Frisbee-type plastic discs. Each 12-inch diameter plastic disc has the following manufacturing costs: For the coming year, Play-Disc expects to make 300,000 plastic discs, and to sell 285,000 of them. Budgeted beginning inventory in units is 16,000 with unit cost of 4.75. (There are no beginning or ending inventories of work in process.) Required: 1. Prepare an ending finished goods inventory budget for Play-Disc for the coming year. 2. What if sales increased to 290,000 discs? How would that affect the ending finished goods inventory budget? Calculate the value of budgeted ending finished goods inventory.
Jackson Inc. listed the following data for 2019: Budgeted factory overhead Budgeted direct labor hours Budgeted machine hours $1,505,000 ৪6,000 43,000 Actual factory overhead Actual direct labor hours 1,402,000 ৪৪,300 41,400 Actual machine hours If overhead is applied based on machine hours, the overapplied/underapplied overhead is (round calculations to 2 significant digits): Multiple Choice $49,059 overapplied. $47000 underapplied. O s-0- $47000 overapplied. $49.059 underapplied.
Buller Company uses normal costing. It allocates manufacturing overhead costs using a budgeted rate per machine-hour. The following data are available for 2019:Budgeted manufacturing overhead costs Budgeted machine-hoursActual manufacturing overhead costs Actual machine-hoursRequired:$4,800,000 180,000 $3,990,000150,0001. Calculate the budgeted manufacturing overhead rate.2. Calculate the manufacturing overhead allocated during 2019.3. Calculate the amount of under- or overallocated manufacturing overhead. Whydo Buller’s managers need to calculate this amount?
Mayer, Inc., asks for your help in regards to its analysis of its variable and fixed overhead costs for October 2021. The information fo the October 2021 overhead expenditures is as follows: Budgeted output units Budgeted total fixed overhead Budgeted variable overhead 3,200 $ 20,800 $5.00Per DLH Budgeted direct labor hours Hours per 2.0unit Actual fixed overhead costs incurred $ 23,000 Actual direct labor hours incurred 7,200 Variable overhead costs incurred Actual units manufactured Actual units sold S 37,500 3,400 3,200 Required: Compute a 4-variance analysis, for manufacturing overhead, for the plant controller.
Bramble Company uses budgets in controlling costs. The August 2020 budget report for the company’s Assembling Department is as follows. BRAMBLE COMPANYBudget ReportAssembling DepartmentFor the Month Ended August 31, 2020 Difference Manufacturing Costs Budget Actual FavorableUnfavorableNeither Favorablenor Unfavorable Variable costs Direct materials $51,240 $50,240 $1,000 Favorable Direct labor 59,780 56,680 3,100 Favorable Indirect materials 25,620 25,920 300 Unfavorable Indirect labor 19,520 19,090 430 Favorable Utilities 15,250 15,080 170 Favorable Maintenance 12,200 12,400 200 Unfavorable Total variable 183,610 179,410 4,200 Favorable Fixed costs Rent 11,800 11,800 –0– Neither Favorable nor Unfavorable Supervision 19,000 19,000 –0– Neither Favorable nor Unfavorable Depreciation 7,500 7,500 –0– Neither Favorable nor Unfavorable…
The following data were gathered from the Pal Company's overhead costs for the January, 2020 production activity: Actual total overhead incurred - P112,500Budgeted fixed overhead - P40,500Standard direct-labor hours allowed for actual production - 15,000Standard fixed overhead rate per direct-labor hour - P2.25Standard variable overhead rate per direct-labor hour - P3.25 Pal Company has been maintaining a standard absorption and flexible budgeting system. It also uses the two-variance method (two-way) for overhead variances. What is Pal's volume (denominator) variance for January, 2020? P6,750F P8,250F P6,750U P8,250U
Bramble Company uses budgets in controlling costs. The August 2020 budget report for the company’s Assembling Department is as follows. BRAMBLE COMPANYBudget ReportAssembling DepartmentFor the Month Ended August 31, 2020 Difference Manufacturing Costs Budget Actual FavorableUnfavorableNeither Favorablenor Unfavorable Variable costs Direct materials $51,240 $50,240 $1,000 Favorable Direct labor 59,780 56,680 3,100 Favorable Indirect materials 25,620 25,920 300 Unfavorable Indirect labor 19,520 19,090 430 Favorable Utilities 15,250 15,080 170 Favorable Maintenance 12,200 12,400 200 Unfavorable Total variable 183,610 179,410 4,200 Favorable Fixed costs Rent 11,800 11,800 –0– Neither Favorable nor Unfavorable Supervision 19,000 19,000 –0– Neither Favorable nor Unfavorable Depreciation 7,500 7,500 –0– Neither Favorable nor Unfavorable…
Ratchet Company uses budgets in controlling costs. The August 2020 budget report for the company's Assembling Department is as follows. RATCHET COMPANY Budget Report Assembling Department For the Month Ended August 31, 2020 Difference Manufacturing Costs Budget Actual Favorable Unfavorable Neither Favorable nor Unfavorable Variable costs Direct materials $51, 240 $50, 240 $1,000 Favorable Direct labor 56, 120 52, 920 3,200 Favorable Indirect materials 25, 620 25,920 300 Unfavorable Indirect labor 21,960 21, 560 400 Favorable Utilities 21,350 21, 180 170 Favorable Maintenance 7,320 7,760 440 Unfavorable Total variable 183,610 179, 580 4,030 Favorable Fixed costs Rent 10,600 10,600-0- Neither Favorable nor Unfavorable Supervision 18, 500 18,500 -0- Neither Favorable nor Unfavorable Depreciation 6, 900 6,900 -0- Neither Favorable nor Unfavorable Total fixed 36,000 36,000-0- Neither Favorable nor Unfavorable Total costs $219,610 $215, 580 $4,030 Favorable The monthly budget amounts in the…