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Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows:
Direct materials: 5 kg at $10.00 per kg | $ | 50.00 |
Direct labour: 3 hours at $17 per hour | 51.00 | |
Variable overhead: 3 hours at $7 per hour | 21.00 | |
Total standard cost per unit | $ | 122.00 |
The company planned to produce and sell 24,000 units in March. However, during March the company actually produced and sold 30,600 units and incurred the following costs:
4. If Preble had purchased 183,000 kg of materials at $9.00 per kg and used 170,000 kg in production, what would be the materials quantity variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.). Do not round intermediate calculations.)
Materials Quantity Variance
= (SQ-SQ) *SP
= (30,600*5 - 170,000)*10
= 170,000 Unfavorable
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Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product....
Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 5 kg at $10.00 per kg $ 50.00 Direct labour: 3 hours at $17 per hour 51.00 Variable overhead: 3 hours at $7 per hour 21.00 Total standard cost per unit $ 122.00 The company planned to produce and sell 24,000...
Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 5 kg at $10.00 per kg $ 50.00 Direct labour: 3 hours at $17 per hour 51.00 Variable overhead: 3 hours at $7 per hour 21.00 Total standard cost per unit $ 122.00 The company planned to produce and sell 24,000...
[The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 5 kg at $10.00 per kg $ 50.00 Direct labour: 3 hours at $17 per hour 51.00 Variable overhead: 3 hours at $7 per hour 21.00 Total standard cost per unit $ 122.00 The company planned to produce and sell 24,000 units in...
Required information (The following information applies to the questions displayed below.) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 6 kg at $9.00 per kg Direct labour: 3 hours at $15 per hour Variable overhead: 3 hours at 55 per hour $ 54.00 45.00 15.00 Total standard cost per unit $ 114.00 The company planned to produce and sell 20.000...
Ultration of 6 (The following information applies to the questions displayed below.) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: 53:01 Direct materials: 5 kg at $9.00 per kg Direct labour: 3 hours at $14 per hour Variable overhead: 3 hours at $9 per hour $ 45.00 42.00 27.00 t Total standard cost per unit $ 114.00 The company planned to produce...
Required information [The following information applies to the questions displayed below.] Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 5 kg at $9.00 per kg $ 45.00 Direct labour: 3 hours at $14 per hour 42.00 Variable overhead: 3 hours at $8 per hour 24.00 Total standard cost per unit $ 111.00 The company planned to produce and sell 28,000...
Required information [The following information applies to the questions displayed below) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: Direct materials: 6 kg at $8.00 per kg Direct labour: 3 hours at $14 per hour Variable overhead: 3 hours at $5 per hour Total standard cost per unit $ 48.ee 42.00 15.00 $ 105.00 The company planned to produce and sell 19,000...
Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct materials: 5 pounds at $10 per pound $ 50 Direct labor: 3 hours at $17 per hour 51 Variable overhead: 3 hours at $7 per hour 21 Total standard cost per unit $ 122 The planning budget for March was based on producing and selling 24,000 units. However, during March the company...
Help Save 6 Required information [The following information applies to the questions displayed below.) Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours, and its standard costs per unit are as follows: 0:47 Direct materials: 5 kg at $9.00 per kg Direct labour: 3 hours at $14 per hour Variable overhead: 3 hours at $9 per hour $ 45.00 42.00 27.00 Total standard cost per unit $ 114.00 The company planned to...
Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct material: 5 pounds at $10.00 per pound$50.00Direct labor: 3 hours at $17 per hour51.00Variable overhead: 3 hours at $7 per hour21.00Total standard variable cost per unit$122.00 The company also established the following cost formulas for its selling expenses: Fixed Cost per MonthVariable Cost per Unit SoldAdvertising$330,000Sales salaries and commissions$360,000$25.00Shipping expenses$16.00 The planning budget for March was...