14) which of the following is not likely to be a reason of unfavorable direct labor rate variance ? | Option c | Frequent breakdowns | The unfavourable labour rate variance occurs due to following reason: highly experienced workers are paid high wages doing less skilled work, paying premium rate for overtime etc |
15) which of the following is not likely to be a reason of unfavorable direct efficiency rate variance ? | Option a | Increased overhead Rate | The unfavorable direct labor efficiency variance occurs due to following reason: Poor supervision,Frequent breakdowns,Old or faulty equipment etc. |
17) | |||
Units Produced = Closing Stock + Sales - Opening Stock | |||
Units Produced = 20,000 + 300,000 - 50,000 | 2,70,000.00 | units | |
18) Sales = opening stock + Units produced - Closing stock | |||
Sales = 10000 + 100000 - 20000 | 90,000.00 | units |
12. Key motivational factors in budgeting do not include a. Training in the budget process b....
1. The master budget A. Shows forecasted and actual results B. Reflects controllable costs only C. Can be used to determine manufacturing cost variances D. Contains the operating budget 2. The master (comprehensive) budget A. Shows the forecasted and actual results B. Reflects controllable costs only C. Can be used to determine manufacturing cost variances D. Contains both financial and operating budgets 3. Zero-base budgeting has which of the following as its objective? A. To base the current year's budget...
Handley Manufacturing Company has prepared the following flexible budget for August and is in the process of interpreting the variances. F denotes a favorable variance and U denotes an unfavorable variance. Flexible Variances Budget Price Efficiency Material A $ 50 comma 000$50,000 $ 2 comma 000$2,000F $ 4 comma 000$4,000U Material B 62 comma 00062,000 300300U 1 comma 6001,600F Direct manufacturing labor 80 comma 00080,000 700700U 2 comma 3002,300F The most likely explanation of the above direct manufacturing labor variances...
DRUMMOND’s Camera Shop has prepared the following flexible budget for September and is in the process of interpreting the variances. F denotes a favorable variance and U denotes an unfavorable variance. Flexible ------------Variances------------- Budget Price Efficiency Material A $20,000 $1,000F $3,000U Material B 30,000 500U 1,500F Direct manufacturing labor 40,000 500U 2,500F [Please note that Flexible Budget is the same as standard costs of material or labor at actual production. Also Price is the same...
All info is here. The Schuyler Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor: (Click the icon to view the standards.) The number of finished units budgeted for January 2017 was 9,760; 9,700 units were actually produced. : (Click the icon to view actual data.) Assume that there was no beginning inventory of either direct materials or finished units. During the month, materials purchased amounted to 97,600 lb.,...
The direct labor efficiency variance is caused by A. Lack of efficiency in preparing the budget. B. Using more or less direct labor than the standard allows. C. Setting a higher or lower wage standard than is practical. D. Paying more or less for direct materials than the standard allows. Assembly line workers at Thompson Manufacturing worked a total of 12,000 direct labor hours to produce 36,000 units. The standard for producing one unit is 15 minutes at a wage...
Oerstman, Inc., uses a standard costing system and develops its overhead rates from the current annual budget. The budget is based on an expected annual output of 124,000 units requiring 496,000 direct labor hours. (Practical capacity is 516,000 hours.) Annual budgeted overhead costs total $748,960, of which $550,560 is fixed overhead. A total of 119,000 units using 494,000 direct labor hours were produced during the year. Actual variable overhead costs for the year were $242,000, and actual fixed overhead costs...
Data: 04/1320 2. The Yates Corporation manufactures lamps. It has set up the following standards per finished unit for direct materials and direct manufacturing labor: (Click the icon to view the standards) The number of finished units budgeted for January 2017 was 9,690, 9,650 units were actually produced (Click the icon to view actual data) Assume that there was no beginning inventory of either direct materials or finished units. During the month, materials purchased amounted to 96,900 lb., at a...
need help with the journal Materials Direct Materials Price Variance Direct materials (5 lbs. @ $2.60) Accounts Payable $13.00 Work in Process Direct labor (0.75 hr. @ $18.00) 13.50 Direct Materials Usage Variance Materials Fixed overhead (0.75 hr. @ $4.00) 3.00 Variable overhead (0.75 hr. @ $3.00) 2.25 Work in Process Direct Labor Efficiency Variance Direct Labor Rate Variance Wages Payable Standard cost per unit $31.75 Work in Process Variable Overhead Control Fixed Overhead Control Algers computes its overhead rates...
please let me know if the additional info was helpful In-process beginning inventory In-process ending inventory Units completed Budgeted output Purchases of materials Total actual direct labor costs Actual direct labor hours Materials usage variance Total materials variance None 700 units, 70% complete as to direct labor 6,200 units 6,6ee units 56,000 kilograms $ 668,000 39,200 hours 2,100 Unfavorable 700 Unfavorable Required: 1. Compute for November: a. The direct labor efficiency variance. Is this variance favorable (F) or unfavorable (U)?...
BUS313 CH 8, 10, 11 30. A significant difference between the direct material purchases budget and the direct labor budget is that the direct material purchases budget A) considers beginning and ending inventory amounts, which are not part of the direct labor budget. B) is constructed for each quarter, while the direct labor budget is constructed for each pay period. C) is based on units sold, while the direct labor budget is based on units produced. D) is constructed from...