Solution
Variable Overhead Rate Variance | $ 846,400.00 | Unfavourable-U |
Variable Overhead Efficiency Variance | $ 33,600.00 | Unfavourable-U |
Variable Overhead Spending Variance | $ 880,000.00 | Unfavourable-U |
Overhead Underapplied= $880,000
Working
Standard DATA for | 1200000 | Items | |
Quantity (SQ) | Rate (SR) | Standard Cost | |
[A] | [B] | [A x B] | |
Variable Overhead | ( 0.25 hours x 1200000 Items)=300000 hours | $ 1.40 | $ 420,000.00 |
1200000 | Items | ||
Quantity (AQ) | Rate (AR) | Actual Cost | |
Variable Overhead | 324000 | $ 4.01 | $ 1,300,000 |
Variable Overhead Rate Variance | ||||||
( | Standard Rate | - | Actual Rate | ) | x | Actual Labor Hours |
( | $ 1.40 | - | $ 4.01 | ) | x | 324000 |
$ (846,400.00) | ||||||
Variance | $ 846,400.00 | Unfavourable-U | ||||
Variable Overhead Efficiency Variance | ||||||
( | Standard Hours | - | Actual Hours | ) | x | Standard Rate |
( | 300000 | - | 324000 | ) | x | $ 1.40 |
$ (33,600.00) | ||||||
Variance | $ 33,600.00 | Unfavourable-U |
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Standard Standard Price (Rate) init Cost Standard Quantity 12 sq ft. 8.25 hr. $ 0.72 per sq. ft. $12.20 per hr. 58.64 3.es Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($378,000 + 900,000 units) 0.25 hr. $ 1.20 per hr. 0.30 0.42 Parker Plastic had the following actual results for the...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $559,200 - 932,000 units) Standard Quantity 12 sq ft. 0.25 hr. 0.25 hr. Standard Price (Rate) $ 1.00 per sq. ft. $ 12.80 per hr. $ 2.00 per hr. Standard Unit Cost $12.00 3.20 0.50 0.60 Parker Plastic had the following actual results for...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Standard Standard Standard Price (Rate) $ 0.90 per sq. ft $12.60 per hr. Quantity 15 sq ft 0.25 hr Unit Cost Direct materials (plastic) $13.50 3.15 Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $539,400 930,000 units) 0.25 hr $ 1.80 per hr 0.45 0.58 Parker Plastic had the following actual results for the past...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Standard Quantity 12 sq ft. 0.25 hr. 0.25 hr. Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $559,200 - 932,000 units) Standard Unit Cost $12.00 3.20 Standard Price (Rate) $ 1.00 per sq. ft. $ 12.80 per hr. $ 2.00 per hr. 0.50 0.60 Parker Plastic had the following actual results for...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead S579,080 = 934,000 units) Standard Quantity 12 sq ft. 0.25 hr. 0.25 hr. Standard Price (Rate) $ 1.10 per sq. ft. $ 13.20 per hr $ 2.20 per hr Standard Unit Cost $13.20 3.30 0.55 0.62 Parker Plastic had the following actual results for...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Standard Quantity 12 sq ft. 0.25 hr. Standard Price (Rate) Standard Unit Cost $ 0.72 per sq. ft. $8.64 $12.20 per hr. 3.05 Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($378,000 + 900,000 units) 0.25 hr. $ 1.20 per hr. 0.39 0.42 Parker Plastic had the following actual results for the...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Standard Standard Unit Cost 8.03 2.60 Quantity 11 sq ft 0.25 hr Standard Price (Rate) $ 0.73 per sq. ft $10.40 per hr. Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $326,880 908,000 units) $ 2.00 per hr. 0.25 hr. 0.50 0.36 Parker Plastic had the following actual results for the past...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $639,200 = 940,000 units) Standard Quantity 10 sq ft. 0.3 hr. 0.3 hr. Standard Price (Rate) $ 1.40 per sq. ft. $13.70 per hr. $ 1.50 per hr. Standard Unit Cost $14.00 4.11 0.45 0.68 Parker Plastic had the following actual results for the...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Standard Quantity 9 sq ft 0.3 hr Standard Unit Cost $ 9.72 Standard Price (Rate) $ 1.08 per sq. ft. 11.30 per hr. 2.80 per hr. Direct materials (plastic) Direct labor 3.39 Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $403,040 916,000 units) 0.3 hr. 0 84 0.44 Parker Plastic had the following actual results for the...
Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $326,880 - 908,000 units) Standard Quantity 11 sq ft. 0.25 hr. 025 hr Standard Price (Rate) $ 0.73 per sq. ft. $ 10.40 per hr. $ 2.00 per hr. Standard Unit Cost $ 8.03 2.60 0.50 0.36 Parker Plastic had the following actual results...