Question

Ray Company provided the following excerpts from its Production Department's flexible budget performance report. (Round "rate per hour" answers to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Required: Complete the Production Department's Flexible Budget Performance Report. Ray Company Production Department Flexible Budget Performance Report For the Month Ended August 31 Actual Flexible Spending Variances Results Budget 9,610 Activity Variances Planning Budget 9,130 Labor-hours (9) $ 199,145 $ Direct labor Indirect labor 197,005 20,043 -309) 2,662 F 1,580 U Utilities ($ 7,800 + I 960 U 2 6,060 4,430 ar + L ) 5,122 4,574 Supplies Equipment depreciation (98150) 0 None 0 None Factory administration Id $ 18,960 + $ 1.20 ) Total expense $ 361.120 361,120 L

Answer 1

Production department flexible budget performance report

For the month ended August 31

				Actual results	Spending variance	Flexible budget	Activity variances	Planning budget
Labor hours				9610		9610		9130
Direct labor	20.5q			199145	2140 U	197005	9840 U	187165
Indirect labor	7550	+	1.30q	17381	2662 F	20043	624 U	19419
Utilities	7800	+	2q	28600	1580 U	27020	960 U	26060
Supplies	1691	+	0.30q	5122	548 U	4574	144 U	4430
Equipment Depreciation	81650			81650	0 None	81650	0 None	81650
Factory administration	18960	+	1.20q	29222	1270 F	30492	576 U	29916
Total				361120	336 U	360784	12144 U	348640