Efficiency variances , Accounting Basics

Assignment Help:

Jackson Corporation uses a standard cost system, concerned manufacturing overhead on the basis of machine hours. The company's overhead standards per unit are given below.

Variable overhead: 4 hours at $9 per hour.

Fixed overhead: 4 hours at $6* per hour.

Based on planned monthly activity of 120,000 machine hours.

Real data for May were:

Number of units produced: 29,000.

Number of machine hours worked: 125,000.

Variable overhead costs incurred: $1,085,000.

Fixed overhead costs incurred: $755,000.

 

Required:

A. Determine the spending and efficiency variances for variable overhead.

B. Determine the budget and volume variances for fixed overhead.

 


Related Discussions:- Efficiency variances

Define the accounting process, Q. Define the accounting process ? The a...

Q. Define the accounting process ? The accounting process offers financial data for a broad range of individuals whose objectives in studying the data vary widely. Bank officia

Explain about accrued liabilities, Q. Explain about Accrued liabilities? ...

Q. Explain about Accrued liabilities? Accrued liabilities are liabilities not so far recorded at the end of an accounting period. They represent responsibility to make payments

Concepts of accounting, the consequences of non-compliance of each of the a...

the consequences of non-compliance of each of the accounting concepts.

Code of ethics for auditor, The following situations involve a possible vio...

The following situations involve a possible violation of the MIA ByLaws (on professional ethics, conduct and practice). For each situation, (1) decide whether or not the Code has b

Cost sheet-orientation, Cost sheet is sheet Where all the cost should be re...

Cost sheet is sheet Where all the cost should be recorded which related to the produc.

Ryan''s express has total credit sales for the year, Ryan's Express has tot...

Ryan's Express has total credit sales for the year of $178,000 and estimates that 3% of its credit sales will be uncollectible. Record the end-of-period adjusting entry on Decemb

Example of unearned service fees, Q. Example of Unearned service fees? ...

Q. Example of Unearned service fees? Unearned service fees On December 7 Micro Train Company received USD 4500 from a customer in payment for future training services. The firm

Show approximation of periodicity, Q. Show Approximation of periodicity? ...

Q. Show Approximation of periodicity? Approximation and judgment because of periodicity To offer periodic financial information accountants must often estimate expected uncolle

On january 1, On January 1, 2012, Lexmark Company's Accounts receivable acc...

On January 1, 2012, Lexmark Company's Accounts receivable account had a debit balance of $10,000. During January, 2012, the company billed customers for services in the amount of

Write Your Message!

Captcha
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