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Cost Management 6th Edition by Edward Blocher,David Stout ,Paul Juras,Gary Cokins
النسخة 6الرقم المعياري الدولي: 978-0078025532Cost Management 6th Edition by Edward Blocher,David Stout ,Paul Juras,Gary Cokins
النسخة 6الرقم المعياري الدولي: 978-0078025532 تمرين 17
Fixed Overhead Cost Variances; Journal Entries (Continuation of Exercise 15-31) For March 2013 the Platter Valley factory of Bybee Industries budgeted $90,000 of fixed overhead. Its practical capacity is 2,500 direct labor-hours per month (to manufacture 5,000 pairs of boots).The factory spent 2,700 direct labor-hours in March 2013 to manufacture 4,800 pairs of boots. The actual fixed overhead incurred for the month was $92,000.
Required
1. Compute the spending (budget) variance and the fixed overhead production volume variance for March.
2. Compute the fixed overhead flexible-budget variance.
3. Provide appropriate journal entries to record the fixed overhead spending and fixed overhead production volume variances for March.
4. Comment on the factory's results in March 2013 with regard to fixed overhead costs.
Required
1. Compute the spending (budget) variance and the fixed overhead production volume variance for March.
2. Compute the fixed overhead flexible-budget variance.
3. Provide appropriate journal entries to record the fixed overhead spending and fixed overhead production volume variances for March.
4. Comment on the factory's results in March 2013 with regard to fixed overhead costs.
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Cost Management 6th Edition by Edward Blocher,David Stout ,Paul Juras,Gary Cokins
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