You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president asked you to review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find the company has never used a flexible budget, and you suggest preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you estimated the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March $16,300 + $0.16 per machine-hour $38,300 + $2.00 per machine-hour $0.90 per machine-hour $94,600+ $1.10 per machine-hour Utilities Maintenance $82,100 $ 22,300 $ 123,000 $70,100 During March, the company worked 23,000 machine-hours and produced 17,000 units. The company originally planned to work 25,000 machine-hours during March. Required: Supplies Indirect labor Depreciation $68,400 $ 22,100 • Calculate the activity variances for March. • Calculate the spending variances for March.

You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president asked you to review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find the company has never used a flexible budget, and you suggest preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you estimated the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March $16,300 + $0.16 per machine-hour $38,300 + $2.00 per machine-hour $0.90 per machine-hour $94,600+ $1.10 per machine-hour Utilities Maintenance $82,100 $ 22,300 $ 123,000 $70,100 During March, the company worked 23,000 machine-hours and produced 17,000 units. The company originally planned to work 25,000 machine-hours during March. Required: Supplies Indirect labor Depreciation $68,400 $ 22,100 • Calculate the activity variances for March. • Calculate the spending variances for March.

Name: Please do not give solution in image format thanku Problem 9-18 (Algo)
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Please do not give solution in image format thanku Problem 9-18 (Algo) Activity and Spending Variances [LO9-1, LO9-2, LO9-3]You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter5: Product And Service Costing: Job-order System

Section: Chapter Questions

Problem 27P: Firenza Company manufactures specialty tools to customer order. Budgeted overhead for the coming...

See similar textbooks

Similar questions

lg
A5
Is Mr. Richardson correct in his conclusion that something is wrong with the company’s performance evaluation process?
Critiquing a Variance Report; Preparing a Performance Report Several years ago, Westmont Corporation developed a comprehensive budgeting system for planning and control purposes. While departmental supervisors have been happy with the system, the factory manager has expressed considerable dissatisfaction with the information being generated by the system. A report for the company’s Assembly department for the month of march follows: After receiving a copy of this cost report, the supervisor of the assembly department started, “These reports are super. It makes me feel really good to see how well things are going in my department. I can’t understand why those people upstairs complain so much about the reports.” For the last several years, the company’s marketing department has chronically failed to meet the sales goals expressed in the company’s monthly budgets. Required: 1. The company’s president is uneasy about the cost reports and would like you to evaluate their usefulness to the…
Please do not give solution in image format thanku
please do not give solution in image format thanku
I need help with numbers 3, 4, and 5
Prepare a flexible budget and recompute the budget variances. Explain what might have caused the fixed costs to be different from the amount budgeted.
Problem 10-19 Activity and Spending Variances [LO10-1, LO10-2, LO10-3] You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company’s costing system and “do what you can to help us get better control of our manufacturing overhead costs.” You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control. After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula Actual Cost in March Utilities $16,800 plus $0.15 per machine-hour $ 21,300 Maintenance $38,500 plus $2.00 per machine-hour $ 68,300 Supplies $0.60 per machine-hour $ 10,600 Indirect labor $94,200 plus $1.30 per machine-hour $ 118,500 Depreciation $68,100 $ 69,800 During March, the company worked 16,000…
can I have assistance on question 1 section b of this problem. I found the question answered, however section b i couldn't understand or see question 1 a is anwered question 2 i answered Managerial accounting 23-2PB
Please do not give solution in image format thanku
Please do not give solution in image format thanku