Important information related operations1 information about

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Reference no: EM13370110

Important information related Operations

1. Information about the production and sales of its only product during its first month of operations:

Sales ($225 per unit) $405,000
Direct materials used $176,000
Direct labor $100,000
Variable factory overhead $44,000
Fixed factory overhead $80,000
Variable selling and administrative expenses $20,000
Fixed selling and administrative expenses $10,000

Ending inventories:

Direct materials -0-
WIP -0-
Finished goods 200 units

The cost of goods sold under variable costing is_____.

a. $320,000
b. $360,000
c. $288,000
d. $272,000

2. Company's overhead cost information is provided below:

Standard applied overhead $210,000

Budgeted overhead based on standard machine hours allowed $230,000

Budgeted overhead based on actual machine hours used $215,000

Actual overhead $200,000

a. Evaluate the total overhead variance.

Reference no: EM13370110

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