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Unformatted text preview: EXERCISE 111
Amount Per Gallon 60* oz. 1.08 lb. 1.2 1 tablet 1 tablet 50 oz. Standard Waste 4% 10% 20% 0% 0% 0% Standard Usage (a) 62.5 oz. (b) 1.2 lb. (c) 1.5 1 tablet 1 tablet 50 oz. Standard Price $.04 .30 .60 .25 .20 .003 Standard Cost Per Gallon $2.50 .36 .90 .25 .20 .15 $4.36 Ingredient Grape concentrate Sugar (54 50) Lemons (60 50) Yeast Nutrient Water (2,500 50) *3,000 50 (a) (b) (c) .96X = 60 ounces; or X = (60 ounces)/.96. .90X = 1.08 pounds; or X = (1.08 pounds)/.90. .80X = 1.2 lemons; or X = (1.2 lemons)/.80. EXERCISE 112 (a) Total materials variance: ( AQXAP) (27,600 X $4.70) $129,720 *9,000 X 3 Materials price variance: (AQXAP) (27,600 X $4.70) $129,720 (AQXSP) (27,600 X $5.00) $138,000 (SQXSP) (27,000* X $5.00) $135,000 = $5,280F = $8,280F Materials quantity variance: (AQXSP) (SQXSP) (27,600 X $5.00) (27,000 X $5.00) $138,000 $135,000 = $3,000U EXERCISE 112 (Continued) (b) Total materials variance: ( AQXAP) (26,400 X $5.20) $137,280 Materials price variance: (AQXAP ) (26,400 X $5.20) $137,280 (SQXSP) (27,000 X $5.00) $135,000 (AQXSP) (26,400 X $5.00) $132,000 = $2,280U = $5,280U Materials quantity variance: (AQXSP) (SQXSP) (26,400 X $5.00) (27,000 X $5.00) $132,000 $135,000 = $3,000F EXERCISE 113 (a) Total labor variance: (AHXAR) (40,500 X $12.10) $490,050 *10,000 X 4 (b) Labor price variance: (AHXAR) (40,500 X $12.10) $490,050 (AHXSR) (40,500 X $12.00) $486,000 (SHXSR) (40,000* X $12.00) $480,000 = $10,050U = $4,050U Labor quantity variance: (AHXSR) (SHXSR) (40,500 X $12.00) (40,000 X $12.00) $486,000 $480,000 (c) Labor price variance: = $6,000U (AHXAR) (40,500 X $12.10) $490,050 (AHXSR) (40,500 X $12.20) $494,100 = $4,050F EXERCISE 113 (Continued) Labor quantity variance: (AHXSR) (SHXSR) (40,500 X $12.20) (42,000 X $12.20) $494,100 $512,400 EXERCISE 115 Total materials variance: ( AQX AP) (1,900 X $2.60*) $4,940 Materials price variance: ( AQ X AP ) (1,900 X $2.60) $4,940 *$4,940 1,900 ( SQXSP) (1,920** X $2.50) $4,800 ( AQXSP) (1,900 X $2.50) $4,750 **240 X 8 = $18,300F = $140U = $190U EXERCISE 115 (Continued) Materials quantity variance: ( AQX SP ) (1,900 X $2.50) $4,750 Total labor variance: ( AH X AR) (700 X $11.60*) $8,120 *$8,120 700 Labor price variance: ( AH XAR) (700 X $11.60) $8,120 Labor quantity variance: ( AH XSR) (700 X $12.00) $8,400 ( SQXSP) (1,920 X $2.50) $4,800 = $50F ( SH X SR) (720** X $12.00) $8,640 **240 X 3 = $520F ( AHX SR) (700 X $12.00) $8,400 ( SHX SR) (720 X $12.00) $8,640 = $280F = $240F EXERCISE 115 (Continued) (Not Required) Materials Variance Matrix
(1) Actual Quantity X Actual Price 1,900 X $2.60 = $4,940 (2) Actual Quantity X Standard Price 1,900 X $2.50 = $4,750 (3) Standard Quantity X Standard Price 1,920 X $2.50 = $4,800 Price Variance (1) (2) $4,940 $4,750 = $190 U Quantity Variance (2) (3) $4,750 $4,800 = $50 F Total Variance (1) (3) $4,940 $4,800 = $140 U Labor Variance Matrix
(1) Actual Hours X Actual Rate 700 X $11.60 = $8,120 (2) Actual Hours X Standard Rate 700 X $12.00 = $8,400 (3) Standard Hours X Standard Rate 720 X $12.00 = $8,640 Price Variance (1) (2) $8,120 $8,400 = $280 F Quantity Variance (2) (3) $8,400 $8,640 = $240 F Total Variance (1) (3) $8,120 $8,640 = $520 F EXERCISE 118 (a) (1) Total actual overhead cost = Overhead Budgeted Overhead Controllable + Variance $1,500 = ($18,000 + $13,200) + = $32,700 (2) Actual variable overhead cost = Actual Overhead Fixed Overhead = $32,700 = $19,500 $13,200 (3) Variable overhead cost applied (4) Fixed overhead cost applied (5) Overhead volume variance = = 2,000 hours X $9 = $18,000 = 2,000 hours X $6 = $12,000 Normal Fixed Overhead X Capacity Hours Rate $6 X (2,200* Standard  Hours Allowed 2,000) = = $1,200 U *$13,200 $6 per hour = 2,200 hours (b) Number of loans processed = Standard hours allowed Standard hours per application = 2,000 2 = 1,000 loans processed ...
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 Spring '11
 RichardKido
 Managerial Accounting

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