Solution-Calculate the fixed overhead spending variance for

Calculate the fixed overhead spending variance for may

Assignment Help Managerial Accounting

Reference no: EM133171466

Question - Waterway Company manufactures deep-sea fishing rods, which it distributes internationally through a chain of wholesalers. The following data are taken from the budget prepared at the beginning of the year by Waterway's controller. The company applies overhead on the basis of machine hours.

	Annual Budget	May Budget
Variable manufacturing overhead	$2,637,800	$235,400
Fixed manufacturing overhead	$1,203,960	$100,330
Direct labor hours	53,520	4,460
Machine hours	239,800	21,400

During the month of May, Waterway used 4,200 direct labor hours and 21,630 machine hours. The flexible budget for the month allowed 4,360 direct labor hours and 21,150 machine hours. Actual fixed manufacturing overhead incurred was $104,100; variable manufacturing overhead incurred was $235,230.

(a) Calculate the variable overhead spending and efficiency variances for May.

(b) Calculate the fixed overhead spending variance for May.

Reference no: EM133171466

Questions Cloud

Conduct an analysis within the organizations database : Conduct an analysis within the organizations database, explain the type of information that was retrieved in the analysis and provide a real world examples of h

Understand the organization issues : You are required to select a successful or any business organization of your choice. Review and understand the organization issues and problems within the frame

What is burberry company diluted earnings per ordinary share : What is Burberry Company's 2023 diluted earnings per ordinary share, rounded to the nearest centavo

BUSN07023 Business in the 21st Century Assignment : BUSN07023 Business in the 21st Century Assignment Help and Solution, University of the West of Scotland - Assessment Writing Service

Calculate the fixed overhead spending variance for may : During the month of May, Waterway used 4,200 direct labor hours and 21,630 machine hours. Calculate the fixed overhead spending variance for May

Outline of the strategic marketing plan : 1. Make a narrative statement for the outline of the strategic marketing plan.

What is the gain or loss to be recognized in profit or loss : If Faith Company uses the fair value model to account for investment properties, what is the gain or loss to be recognized in profit or loss for the year ended

Identify at least four external stakeholders : I. Identify a business with which everyone in the group is familiar. This can be a local business or a tational chain.

Compute the total credit to purchase discount : For month of April 2021, the company purchased materials A and B with a list price of 200,000.00 and 100.000.00, Compute total credit to purchase discount

User Account

All Pages

Calculate the fixed overhead spending variance for may

Reference no: EM133171466

Reference no: EM133171466

Questions Cloud

Reviews

Write a Review

Managerial Accounting Questions & Answers

Manage budgets and financial plans

Prepare a retained earnings statement

Prepare a master budget for the three-month period

Construct the companys direct labor budget

Evaluate the predetermined overhead rate

Determine the company''s bid

Compute the pool rates for the different activities

Prepare Company financial statements

Prepare an analysis of terracycles

Discuss the ethical issues

Political resources in emerging markets

Management accounting - ehsan electronics company

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT