Reference no: EM132773535
Ranier Corporation manufactures a single product. The standard cost per unit of the product is shown below.
Direct materials 2.0 kilogram of plastic at $8.00 per kilogram = $16.00
Direct labour 1.5 hours at $15.00 per hour = 22.50
Variable MOH 2 hours at $5.00 per hour = 10.00
Fixed MOH 2 hours at $2.50 per hour = 5.00
Total standard cost per unit $53.50
The predetermined manufacturing overhead rate is $7.50 per direct labour hour ($15.00/2.0 hours). The rate was calculated from a master manufacturing overhead budget based on normal production of 20,000 direct labor hours, or 10,000 units for the month. The master budget showed total variable costs of $100,000 and total fixed costs of $50,000.
Actual costs in October in producing 9,900 units were as follows:
Direct materials 10,300 kilograms $7.33 per kilogram = $75,500
Direct labor 14,000 hours at $12.50 per hour = $175,000
Variable MOH $112,500 Fixed MOH $37,000
Total manufacturing costs $400,000
The purchasing department normally buys the quantities of raw materials that are expected to be used in production each month. Raw materials inventories can therefore be ignored.
Problem (a) Calculate all of the materials and labor variances.
Problem (b) Calculate the total overhead variance.
Problem (c) Calculate the overhead budget variance and the overhead volume variance.
|
Explain how the management style would vary
: Explain how the management style would vary in a power, role, task and person culture
|
|
Quantitative and qualitative research
: What led the author(s) to write the piece? What key concepts were explored? Were there weaknesses in prior research
|
|
Difference between traditional design-bid-build
: What is the main difference between traditional Design-Bid-Build, Multiple Prime Contracts, and CM agency?
|
|
Prepare the entries to liquidate the partnership on january
: Assume White partnership liquidates by selling its other assets for P5,000,000. Prepare the entries to liquidate the partnership on January 1, 20CY.
|
|
Calculate overhead budget variance and the overhead volume
: The predetermined manufacturing overhead rate is $7.50 per direct labour hour. Calculate the overhead budget variance and the overhead volume variance.
|
|
What is the probability of obtaining a sample mean
: The sample mean lifetime is 1770 hours. If the claim is true, what is the probability of obtaining a sample mean that is less than 1770 hours?
|
|
Use the constant growth model to estimate the cost of equity
: Now use the constant growth model to estimate the cost of equity. Bunkhouse Electronics is a recently incorporated firm that makes electronic
|
|
What is the net income for financial statements
: What is the net income for 2021? cash dividends paid on common stock $18,600. increase in ACCTS RECEIVABLE $36,300. depreciation and amortization $29,700
|
|
Top 10 countries based on ita
: How do you think can the Philippines join the Top 10 countries based on ITA (International Tourist Arrivals)? How can this country attract more tourists?
|