User Account

All Pages

Determine the actual materials cost incurred

Assignment Help Accounting Basics
Reference no: EM132599145

Question - Materials Variances

Assume that Pearle Vision uses standard costs to control the materials in its made-to-order sun- glasses. The standards call for 2 ounces of material for each pair of lenses. The standard cost per ounce of material is $16. During July, the Santa Clara location produced 5,200 pairs of sunglasses and used 9,700 ounces of materials. The cost of the materials during July was $16.75 per ounce, and there were no beginning or ending inventories.

Required -

a. Determine the flexible budget materials cost for the completion of the 5,200 pairs of glasses.

b. Determine the actual materials cost incurred for the completion of the 5,200 pairs of glasses and compute the total materials variance.

c. How much of the total variance was related to the price paid to purchase the materials?

d. How much of the difference between the answers to requirements (a) and (b) was related to the quantity of materials used?

Reference no: EM132599145

Questions Cloud

Security awareness and security policy implementation : What would you do if you needed to develop a user training program on security awareness and security policy implementation?
What is the balance in the cash short account : What is the balance in the cash short/over account (DR or CR & $ amount)? Is it a revenue or an expense? Established a petty cash fund of $500
Describe one element of your social media presence : Describe one element of your social media presence that you can use to support the brand you want your potential employers to see. How does this element.
Prepare a bank reconciliation for the greenview food store : Checks written in March but still outstanding, Prepare a bank reconciliation for the Greenview Food Store for the month of March 31, 20XX.
Determine the actual materials cost incurred : Determine the actual materials cost incurred for the completion of the 5,200 pairs of glasses and compute the total materials variance
To what amount will the investment grow : Chris Spear invested $15,000 today in a fund that earns 8% compounded annually. To what amount will the investment grow in 3 years
Compare net present value and internal rate of return method : Contrast the Net Present Value and the Internal Rate of Return methods for capital budgeting. What are the advantages and disadvantages of each?
What amount will Clancey receive when it issues the bonds : The current market rate of interest for bonds of similar risk is 8%. What amount will Clancey receive when it issues the bonds
Discussion about the mental health integration model : The training of counselor educators and supervisors provides for instruction in the wellness model, developmental stages of lifetime adjustment.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Compute the labor price and quantity variances

Lewis Company's standard labor cost of producing one unit of Product DD is 3.9 hours at the rate of $10.0 per hour. Compute labor price and quantity variances

  What would be reported as cost of goods sold

What would be reported as Cost of Goods Sold on the income statement for the year ending December 31, 2016

  Computing the income tax effects for wendy

Wendy owns 20% of the common stock of Britton Company. During the current year, Britton reported a taxable income of $90,000 and paid $40,000 in cash dividends. What are the income tax effects for Wendy of her investment in Britton Company if Brit..

  Discuss business activities - processes of the organisation

Define business processes - What a Baker does? Discuss the business activities/processes of the organisation to show your understanding about the business.

  Reviewed the audit plan for the revenue account

You are working on the audit of Sunshine Foods Ltd a wholesale distributor, for year ending 30 June 2015. You have reviewed the audit plan for revenue account

  What transactions increase or decrease owner equity

Please explain the relationship between economic resources and claims to economic resources. What transactions increase or decrease owner's equity?

  Record the adjusting entry at decemeber 312010 end of the

for a business that uses the allownace method of accounting for uncollectible receivable journalize the entires to

  Calculate the stock expected return

Expected return A stock's returns have the following distribution: Calculate the stock's expected return, standard deviation, and coefficient of variation

  Identified and measured economic event should be recorded in

Identified and measured economic events should be recorded in order. In every transaction, at least parties are involved.

  Show the journal entry for pension expense

(Basic Pension Worksheet) The following defined pension data of Rydell Corp. apply to the year 2014.

  Evaluate the consequences to a publically traded company

Evaluate the consequences to a publically traded company when there is a lack of quality within financial accounting and reporting.

  What is anne realized gain

The total cost was $20,000, and Anne deducted $13,000 as medical expenses. What is Anne's realized gain

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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