Calculate the actual variable overhead cost incurred by Pato

Assignment Help Accounting Basics
Reference no: EM132513378

Question - Pato Company produces leather sandals. The company employs a standard costing system and has the following standards in order to produce one pair of sandals:

 

standard quantity

standard price

direct materials

2 leather strips

?? per strip

direct labor

2.5 hours

$10 per hour

variable overhead

2.5 hours

?? per hour

During May, Pato purchased leather strips at a total cost of $124,520 and had direct labor totaling $117,100. During May, Pato used 18,790 leather strips in the production of sandals. Pato had no beginning inventories of any type for May. At May 31, Pato had 780 leather strips remaining in its direct materials inventory.

Pato Company reported the following variances for May:

Direct material price variance $7,100 unfavorable.

Direct labor rate variance $29,500 favorable.

Total direct labor variance $8,900 unfavorable.

Variable overhead spending variance $2,440 favorable.

Variable overhead efficiency variance $34,560 unfavorable.

Calculate the actual variable overhead cost incurred by Pato Company in May.

Reference no: EM132513378

Questions Cloud

Find sky mountain adjusting entry four months later at dec : Given no previous adjusting entries have been recorded, Sky Mountain's adjusting entry four months later at December 31 would include a
Formula for addition of two velocities in special relativity : Give the formula for the addition of two velocities in Special Relativity.
Distinction between void and voidable contract : Explain the distinction between a void and a voidable contract; between an executed and an executory contract; between a unilateral and a bilateral contract.
How much work do the movers need to do o the piano : 1. Two movers are pushing a 185 kg piano up a ramp into the back of a moving truck. The back of the truck is 1.3m high.
Calculate the actual variable overhead cost incurred by Pato : During May, Pato purchased leather strips at a total cost of $124,520 and had direct labor totaling $117,100. Calculate actual variable overhead cost incurred
Find the journal entry to record the employees pay : $14,000, and it withholds $2,100 for income taxes and $1,071 for FICA taxes, the journal entry to record the employees' pay should include a
Find a fuse that can handle : If your car battery is a 12 V DC source. Typically you might find a fuse that can handle a 5 amp surge. What resistance is that fuse protecting?
What gain or loss did the trucking company record : $1,286,000 recorded through the date of disposal. What gain or loss did the trucking company record when it sold the fleet of trucks?
Determine the sign and magnitude of charge on oil droplet : An oil droplet is sprayed into a uniform electric field of adjustable magnitude. The 1.83x10-16 kg droplet hovers motionless when the electric field

Reviews

Write a Review

Accounting Basics Questions & Answers

  Information on analysis of journal entries

The following journal entries are from the books of Kara Elizabeth Company: For each of the journal entries, prepare an explanation of the business event that is being represented.

  How much depreciation expense should the company recognize

It has an estimated useful life of 5 years. Using the straight-line method, how much depreciation expense should the company recognize on December 31, Year 1?

  Recommendations on the reporting

The client has asked for help in reporting some securities, and the audit manager on the job has asked you for recommendations on the reporting.

  How this error would effect the amounts ofcost of goods sold

Repeat M7-16, except assume the 2015 ending inventory was over stated by $ 100,000. Refer M7-16 Assume the 2015 ending inventory of Shea's Shrimp Shack was understated by $ 10,000. Explain how this error would affect the amounts reported for cost of ..

  Finished goods costing to manufacture were sold on account

Finished goods costing $78,000 to manufacture were sold on account

  Journalize the adjusting entries

The trial balance of Padre Paradise at December 31, 2008, and the data needed for the month-end adjustments follow: Journalize the adjusting entries

  Discuss the audit procedures that johnson would conduct

Discuss the audit procedures that Johnson would conduct to determine if Mother earth would violated the debt covenants

  Short-term debt at december 31 is 4 million the treasurer

1. jasper inc. has a december 31 year-end.a. current assets are 30 million.b. current accrued liabilities are 9

  Examine the features of your present credit card

Examine the features of your present credit card. (If you do not have a credit card, select a likely one online for this exercise.) Given your analysis above, what are the three major disadvantages of your present credit card?

  The journal entry to accrue interest earned at year-end

seamark buys 300000 of eiders 8 five-year bonds payable at par value on september 1. interest payments are made

  Determine the equity value of ge

Determine the equity value of GE; assume that earnings will grow at 4% starting from 2021. The current price as of 6/18/16 is $30.60. Should we buy the stock

  Prepare a retained earnings statement for the year

Prepare a retained earnings statement for the year ended December 31, 2015. Enter all amounts as positive numbers. Refer to the list of Labels and Amount.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd