Lane Company manufactures a single product that requires a great deal of hand labor. Overhead cost Is applled on the basis of standard direct labor-hours. The budgeted varlable manufacturing overhead Is $5.20 per direct labor-hour and the budgeted fixed manufacturing overhead is $2,484,000 per year. The standard quantity of materlals is 4 pounds per unit and the standard cost Is $11.00 per pound. The standard direct labor-hours per unit is 1.5 hours and the standard labor rate Is $13.60 per hour. The company planned to operate at a denominator activity level of 270,000 direct labor-hours and to produce 180,000 units of product during the most recent year. Actual activity and costs for the year were as follows: Actual number of units produced 216, 000 Actual direct labor-hours worked Actual variable manufacturing overhead cost incurred Actual fixed manufacturing overhead cost incurred 351,000 $1,053,000 $2,808,000 Requlred: 1. Compute the predetermined overhead rate for the year. Break the rate down Into varlable and fixed elements. 2 Prepare a standard cost card for the company's product. 3a. Compute the standard direct labor-hours allowed for the year's production. 3b. Complete the following Manufacturing Overhead T-account for the year. 4. Determine the reason for any underapplied or overapplied overhead for the year by computing the varlable overhead rate and efficlency variances and the fixed overhead budget and volume vartances. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A Req 3B Req 4 Compute the predetermined okead rate for the year. Break the rate down into variable and fixed elements. (Round your answers to 2 decimal places.) Predetermined overhead rate per DLH Variable rate per DLH Fixed rate per DLH K Reg 1 Req 2 >

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Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.

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