Please do not give solution in image format thanku Mosaic Company applies overhead using machine hours and shows the following information.5,500 hours6,000 hours$ 4.85$ 4.80Actual hours of machine useStandard hours of machine use (for actual production)Actual variable overhead rate per machine hourStandard variable overhead rate per machine hourCompute the variable overhead spending variance and the variable overhead efficiency variance and identify each as favorable orunfavorable.AH5,500Actual CostXX$ 26,675AVR$ 4.85Variable overhead efficiency varianceVariable overhead spending variance$Flexible Budget00SH6,000Standard CostXX$ 28,800$SVR4.80

Name: Please do not give solution in image format thanku Mosaic Company appl
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Please do not give solution in image format thanku Mosaic Company applies overhead using machine hours and shows the following information.5,500 hours6,000 hours$ 4.85$ 4.80Actual hours of machine useStandard hours of machine use (for actual producti

VARIABLE OH COST VARIANCEVariable OH Cost Variance is the difference between standard variable OH…

Business

Accounting

Mosaic Company applies overhead using machine hours and shows the following information. 5,500 hours 6,000 hours Actual hours of machine use Standard hours of machine use (for actual production) Actual variable overhead rate per machine hour Standard variable overhead rate per machine hour AH Compute the variable overhead spending variance and the variable overhead efficiency variance and identify each as favorable or unfavorable. 5,500 Actual Cost X X $ 26,675 AVR $ 4.85 Variable overhead efficiency variance Variable overhead spending variance $ Flexible Budget $ 4.85 $ 4.80 0 0 SH 6,000 Standard Cost X X $ 28,800 $ SVR 4.80

Mosaic Company applies overhead using machine hours and shows the following information. 5,500 hours 6,000 hours Actual hours of machine use Standard hours of machine use (for actual production) Actual variable overhead rate per machine hour Standard variable overhead rate per machine hour AH Compute the variable overhead spending variance and the variable overhead efficiency variance and identify each as favorable or unfavorable. 5,500 Actual Cost X X $ 26,675 AVR $ 4.85 Variable overhead efficiency variance Variable overhead spending variance $ Flexible Budget $ 4.85 $ 4.80 0 0 SH 6,000 Standard Cost X X $ 28,800 $ SVR 4.80

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter8: Standard Costs And Variances

Section: Chapter Questions

Problem 11EB: Fitzgerald Company manufactures sewing machines, and they produced 2,500 this past month. The...

See similar textbooks

Similar questions

ThingOne Company has the following information available for the past year. They use machine hours to allocate overhead. What is the variable overhead efficiency variance?
Grand Canyon Manufacturing Inc. produces and sells a product with a price of 100 per unit. The following cost data have been prepared for its estimated upper and lower limits of activity: Overhead: Selling and administrative expenses: Required: 1. Classify each cost element as either variable, fixed, or semi-variable. (Hint: Recall that variable expenses must go up in direct proportion to changes in the volume of activity.) 2. Calculate the break-even point in units and dollars. (Hint: First use the high-low method illustrated in Chapter 4 to separate costs into their fixed and variable components.) 3. Prepare a break-even chart. 4. Prepare a contribution income statement, similar in format to the statement appearing on page 540, assuming sales of 5,000 units. 5. Recompute the break-even point in units, assuming that variable costs increase by 20% and fixed costs are reduced by 50,000.
The total cost for monthly supervisory cost in a factory is 4,500 regardless of how many hours the supervisor works or the quantity of output achieved. This cost a. is strictly variable. b. is strictly fixed. c. is a mixed cost. d. is a step cost. e. cannot be determined from this information.
The following product costs are available for Kellee Company on the production of eyeglass frames: direct materials, $32,125; direct labor, $23.50; manufacturing overhead, applied at 225% of direct labor cost; selling expenses, $22,225; and administrative expenses, $31,125. The direct labor hours worked for the month are 3,200 hours. A. What are the prime costs? B. What are the conversion costs? C. What is the total product cost? D. What is the total period cost? E. If 6.425 equivalent units are produced, what is the equivalent material cost per unit? F. What is the equivalent conversion cost per unit?
Fitzgerald Company manufactures sewing machines, and they produced 2,500 this past month. The standard variable manufacturing overhead (M0H) rate used by the company is $6.75 per machine hour. Each sewing machine requires 13.5 machine hours. Actual machine hours used last month were 33,500, and the actual variable MOH rate last month was $7.00. Calculate the variable overhead rate variance and the variable overhead efficiency variance.
Calculating amount of factory overhead applied to work in process The overhead application rate for a company is 2.50 per unit, made up of 1.00 for fixed overhead and 1.50 for variable overhead. Normal capacity is 10,000 units. In one month, there was an unfavorable flexible budget variance of 200. Actual overhead for the month was 27,000. What was the amount of the budgeted overhead for the actual level of production?
Required information (The following information applies to the questions displayed below.] Mosaic Company applies overhead using machine hours and shows the following information. Actual hours of machine use Standard hours of machine use (for actual production) Actual variable overhead rate per machine hour Standard variable overhead rate per machine hour 5,500 hours 6,000 hours $5.10 Compute the variable overhead variance and identify it as favorable or unfavorable. Actual Cost Standard Cost
A company reports the following information for its direct labor. Actual hours of direct labor used Actual rate of direct labor per hour Standard rate of direct labor per hour Standard hours of direct labor for units produced ! AH = Actual Hours SH= Standard Hours AR= Actual Rate SR Standard Rate Compute the direct labor rate and efficiency variances and identify each as favorable or unfavorable. Q F1 Actual Cost @ 2 W F2 # 3 E 80 F3 $ $ 4 0 Ơ F4 R $ % 5 0 0 * DII 8 F8 Standard Cost ( 9 F9 ) U I O F1
A Company establishes the following standards for the costs of one unit of its product. The standard production overhead costs per unit are bascd on direct-labor hours. Calculation for standard per unit cost is as follows: Std Cost Std Qty 3.00 kg | Direct Material Direct Labor Variable Overhead Fixed Overhead* |Total *based on practical capacity of 20,000 direct-labor hour per month Std Price/Rate $ 8.25 per kg $ 10.00 per hour $ 10.00 per hour $ 7.50 per hour 24.75 $ 20.00 2.00 hour $ 20.00 2.00 hour 15.00 2.00 hour 79.75 During December 2020, the Company purchased 30,000 kg of direct material at a total cost of $246,000. The total wages for December were $260,000, 75% of which were for direct labor. The Company manufactured 9,500 units of product during December 2020, using 28,400 kg of the direct material purchased in December and 18,900 direct-labor hours. Actual variable and fixed overhead cost were $200,000 and $150,000, respectively. The scheduled production for the month was…
Alfredo Co. has collected the following per unit data: Direct labor $8 Variable selling and admin. Direct materials 5 Fixed overhead Variable overhead 2 Fixed selling and admin. The markup percentage is 120%. What is the price under the variable-cost approach? $24.00 O $20.40 O $21.60 $33.60 $3 1 7
A standard cost card for one unit of a product may look like the following: Direct materials (4 pounds @ $1.25 per pound) $5.00 Direct labor (0.1 DLH @ $18 per hour) 1.80 Variable overhead (0.1 DLH @ $2.00 per hour) 0.20 Fixed overhead (0.1 DLH @ $4.60 per hour) 0.46 Total cost per unit $7.46 The standard cost to produce one unit is $7.46. The standard cost to produce 600 units are $ Of course, this is a simplification as the standard cost does not take fixed and variable costs into account. However, if the firm is producing at or near capacity, then the cost per unit of $7.46 could be multiplied by total units to get total standard cost. The standard cost card gives both unit and cost standards. The direct materials total of $5.00 is based on the use of four pounds of material at $1.25 per pound. Similarly, it should take six minutes (0.1 direct labor hour) to produce one unit. This makes it easy to determine total quantities and cost would be for multiple units. If 400 units were…
Pedregon Corporation has provided the following information: Variable manufacturing overhead Fixed manufacturing overhead O $5.70 $8.15 Sales commissions Varlable administrative expense Fixed selling and administrative expense $5,000 If the selling price is $21.60 per unit, the contribution margin per unit sold is closest to: O $3.90 Direct materials Direct labor O $10.70 * Previous Cost per Unit Cost per Period $7.10 $ 3.80 $1.35 $14,000 $0.55 $0.65