3. 9-69 Jupiter Company applies overhead based on machine hours. The variable overhead standard is 21 hours at $29 per hour. During February, Jupiter Company spent $121,960 for variable overhead. Assuming 10,000 machine hours were used to produce 700 units, how much is variable overhead on the flexible budget? A. $426,300 B. $20,300 C. $290,000

Gus Corporation manufactured 10,000 golf bags during April. The fixed overhead cost-allocation rate is $40.00 per machine-hour. The following is the fixed overhead data: Actual Static Budget Production 10,000 units 12,000 units Machine-hours 5,100 hours 6,000 hours Fixed overhead cost $244,000 $240,000 What is the flexible-budget amount? A) $200,000 B) $204,000 C) $240,000 D) $244,000 What is the amount of fixed overhead allocated to production (Actual Qty x Bud Price column)? A) $200,000 B) $204,000 C) $240,000 D) $244,000 The total Fixed overhead variance is: A) overallocated by $4,000 B) underallocated by $4,000 C) overallocated by $44,000 D) underallocated by $44,000

Dd.18.

Interplast Ghana is a rubber fabricating company based at North Industrial Area. The company produce rubber buckets for the West African market and plans to produce 1,000 units of buckets in the month of January. The bucket requires a single operation and the standard cost for the operation is presented below: Standard cost card (bucket) GH₂ Direct material (plastics): 10 kg at GHe 0.50 per kg) Direct labour (5hours@ GHe 20 per hours) Variable overheads (3 hours at GHe 2 per direct labour) Total standard variable cost Standard contribution margin Standard selling price Budget statement for the month of January Sales (1.000 units of buckets at GHe 140 per unit) Direct materials: (10,000 at GHe 0.50) Direct labour (4,000 hours @GHe 20per hour) Variable overheads (4,000 hours @GHe 2 per direct hour) 93,000 Budget contribution 47,000 Fixed overheads 20,000 Budgeted profit 27,000 The annual budgeted fixed overheads is GH€ 240,000 and are assume to be incurred evenly throughout the year.…