Which of the following statements is true?
A single Variance clearing account is used to accumulate the individual variances.
Closing a favorable variance increases net operating income.
Closing a favorable variance decreases net operating income.
Closing an unfavorable variance increases net operating income.
Answer to Last image: xxx company
Spending variance :
= [(2200 *2) - (2200 *1.90)] + [(2000*2) - (2200*2)]
= 180 U
Answer to second Last image:
fixed component of the predetermined overhead rate :
= 21000/6000
= $3.50 per machine hour
Answer to third Last image:
Volume variance
= (1500 -1200)* 21000 / 1200
= 5250 F
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Which of the following statements is true? A single Variance clearing account is used to accumulate the individual var...
Please find the correct Variable Overhead Rate Variance for
#3. thank you!
Norwall Company's budgeted variable manufacturing overhead cost is $1.30 per machine-hour and its budgeted fixed manufacturing overhead is $30,624 per month The following information is available for a recent month: a. The denominator activity of 9,570 machine-hours is used to compute the predetermined overhead rate. b. At a denominator activity of 9,570 machine-hours, the company should produce 3,300 units of product. c. The company's actual operating results were:...
Norwall Company’s budgeted variable manufacturing overhead cost
is $1.30 per machine-hour and its budgeted fixed manufacturing
overhead is $30,624 per month.
The following information is available for a recent month:
The denominator activity of 9,570 machine-hours is used to
compute the predetermined overhead rate.
At a denominator activity of 9,570 machine-hours, the company
should produce 3,300 units of product.
The company’s actual operating results were:
Number of units produced
4,570
Actual machine-hours
10,090
Actual variable manufacturing overhead cost
$
14,630...
Norwall Company's budgeted variable manufacturing overhead cost iS $1.95 per machine-hour and its budgeted fixed manufacturing overhead is $51,336 per month. The following information is available for a recent month: a. The denominator activity of 28,520 machine-hours is used to compute the predetermined overhead rate b. At a denominator activity of 28,520 machine-hours, the company should produce 12,400 units of product. C. The company's actual operating results were Number of units produced Actual machine-hours Actual variable manufacturing overhead cost Actual...
Norwall Company’s
budgeted variable manufacturing overhead cost is $1.95 per
machine-hour and its budgeted fixed manufacturing overhead is
$36,036 per month.
The following
information is available for a recent month:
The denominator activity of 18,480 machine-hours is used to
compute the predetermined overhead rate.
At a denominator activity of 18,480 machine-hours, the company
should produce 6,600 units of product.
The company’s actual operating results were:
Number of units
produced
7,550
Actual
machine-hours
19,630
Actual variable
manufacturing overhead cost
$
41,223...
8-38 Overhead variance, missing information. Consider the following two situations—cases A and B independently. Data refer to operations for April 2017. For each situation, assume standard costing. Also assume the use of a flexible budget for control of variable and fixed manufacturing overhead based on machine-hours. Cases A B (1) Fixed manufacturing overhead incurred $ 84,920 $23,180 (2) Variable manufacturing overhead incurred $120,400 (3) Denominator level in machine-hours 1,000 (4) Standard machine-hours allowed for actual output achieved 6,200 (5) Fixed...
17 Norwall Company's budgeted variable manufacturing overhead cost is $3.00 per machine hour and its budgeted fixed manufacturing overhead is $300,000 per month 0.72 points The following information is available for a recent month: a The denominator activity of 60,000 machine hours is used to compute the predetermined overhead rate. b. At a denominator activity of 60,000 machine hours, the company should produce 40,000 units of product c. The company's actual operating results were: Number of units produced Actual machine-hours...
Norwall Company's budgeted variable manufacturing overhead cost is $1.30 per machine-hour and its budgeted fixed manufacturing overhead is $85,347 per month. The following information is available for a recent month: a. The denominator activity of 29,430 machine-hours is used to compute the predetermined overhead rate. b. At a denominator activity of 29,430 machine-hours, the company should produce 10,900 units of product. c. The company's actual operating results were: Number of units produced 11,840 30,430 $ 45,645 $ 84,800 Actual machine-hours...
Norwall Company's budgeted variable manufacturing overhead cost is $1.40 per machine-hour and its budgeted fixed manufacturing overhead is $77,350 per month. The following information is available for a recent month: a. The denominator activity of 22,750 machine-hours is used to compute the predetermined overhead rate. b. At a denominator activity of 22,750 machine-hours, the company should produce 9,100 units of product. c. The company's actual operating results were: Number of units produced Actual machine-hours Actual variable manufacturing overhead cost Actual...
Norwall Company's budgeted variable manufacturing overhead cost is $1.30 per machine-hour and its budgeted fixed manufacturing overhead is $30,624 per month. The following information is available for a recent month: a. The denominator activity of 9,570 machine-hours is used to compute the predetermined overhead rate. b. At a denominator activity of 9,570 machine-hours, the company should produce 3,300 units of product. c. The company's actual operating results were: Number of units produced Actual machine-hours Actual variable manufacturing overhead cost Actual...
Norwall Company's budgeted variable manufacturing overhead cost is $1.90 per machine-hour and its budgeted fixed manufacturing overhead is $87,000 per month. The following information is available for a recent month: a. The denominator activity of 34,800 machine-hours is used to compute the predetermined overhead rate. b. At a denominator activity of 34,800 machine-hours, the company should produce 12,000 units of product. c. The company's actual operating results were: Number of units produced Actual machine-hours Actual variable manufacturing overhead cost Actual...