Solution for Exam 2 Samples

Solution for Exam 2 Samples - × SR) = $142,245 - (8,700 ×...

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1. 2 a. Materials price variance = (AQ × AP) - (AQ × SP) = $90,345 - (5,700 × $15.60) = $1,425 U b. Materials quantity variance = SP(AQ - SQ*) = $15.60(5,200 - 5,280) = $1,248 F *SQ = Standard quantity per unit × Actual output = 1.0 × 5,280 = 5,280 3 a. Labor rate variance = (AH × AR) - (AH × SR) = $59,470 - (3,800 × $15.50) = $570 U b. SH = Standard hours per unit × Actual output = 0.3 × 12,800 = 3,840 Labor efficiency variance = SR(AH - SH) = $15.50(3,800 - 3,840) = $620 F 4. a. Variable overhead rate variance = (AH × AR) - (AH
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Unformatted text preview: × SR) = $142,245 - (8,700 × $16.05) = $2,610 U SH = Standard hours per unit × Actual output = 3.3 × 2,600 = 8,580 b. Variable overhead efficiency variance = SR(AH - SH) = $16.05(8,700 - 8,580) = $1,926 U 5 a. Spending variance = Actual fixed manufacturing overhead cost - Budgeted fixed manufacturing overhead cost = $41,740 - $42,400 = $660 F b. Volume variance = Fixed portion of the predetermined overhead rate × (Denominator hours - Standard hours allowed) = $26.50 × (1,600 - 2,000) = $10,600 F...
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This note was uploaded on 11/09/2010 for the course ACCT 301 taught by Professor Lynn during the Spring '10 term at University of Baltimore.

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