User Account

All Pages

What is the flexible budget variance for direct materials

Assignment Help Managerial Accounting
Reference no: EM132603153

Loden is a local dress shop that makes casual dresses in fun prints. Below is some actual vs. budget information for Loden's dresses for the month of May. Assume no beginning/ending inventories for simplicity. The cost-allocation base for both variable and fixed overhead is direct labor-hours.

Data for the Month of May                  Static                    Actual Budget#

Dresses made and sold                      2,600                    2,400

Selling price per dress                           $39                       $40

Yards of fabric per dress                          2.93

Cost per yard of fabric                            $3.84                     $3.66

Time in hours to sew one dress                  10.9

Cost of direct labor (per hour)                      $14                          $15

Variable overhead costs                             $3,500                      $3,000 (utilities, sewing machine maintenance, etc.)

Fixed overhead costs                                $4,900                          $4,800(store rent, insurance, etc.)

Question 1: What is the flexible budget variance for direct materials?

a. $405.60 U

b. $2,601.60 U

c. $405.60 F

d. $2,601.60 F

Reference no: EM132603153

Questions Cloud

Find the number of units of wood : Find the number of units of wood that Cameo needs to purchase during the first month. To manufacture a box, it takes 44 units of wood and 2 units of Scheduled
The future of iot and the security implications : Explain your thoughts on the future of IoT and the security implications.
How much should wilson center report as contribution revenue : Wilson Center is a private not-for-profit voluntary health and welfare entity. How much should Wilson Center report as contribution revenue
Compute the predetermined manufacturing overhead rate : Compute the predetermined manufacturing overhead rate assuming that the company continues to apply manufacturing overhead cost
What is the flexible budget variance for direct materials : What is the flexible budget variance for direct materials? The cost-allocation base for both variable and fixed overhead is direct labor-hours.
Resistance to change is normal everyday aspect in workplace : Resistance to change is a normal everyday aspect in the workplace. Note what happens to the organizational climate when this resistance occurs
What auditing standards have been violated in this case : ATLAS Company acquired the assets of another corporation during the year, What auditing standards have been violated in this case? Explain why
Feasibility analysis : The systems analyst has to take cost and benefit into account when determining the feasibility of a project.
Determine which products should be processed further : A company manufactures three products from a common input in a joint processing operation. Which products should be processed further?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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