assistance would be greatly appreciated connect securely New tab ? |?https://new

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assistance would be greatly appreciated

connect securely New tab ? |?https://newconnect.rmheducation com.flow/connect html | n Official Miami Dadece Connect Help Seve & Exit Submi Check my work Required information The following information applies to the questions cisplayed below Tricp Company set the foilowing standard unit costs for its single product. Direct materials (3 Ibs. $4.8e per Ib. $144.80 Direct labor (6 hrs. $14 per hr.) Factory overhead-variable (6 hrs. $7 per hr-) 84.00 42.80 Factory overhead-fixed (6 hrs. $9 per hr .ee Total standard cost 324.8 The predetermined overhead rate is based on a planned operating volume of s of the productive capacity of 57,000 units per quarter. The following flexible budget information is available erating Levels 80% 39,980 45,60 51,388 78% 90% Production in units Standard direct labor 239,480 273,60 387,888 hours Budgeted overhead Fixed factory overhead $2,462,480 $2,462,480 $2,462,480 $1,675,888 $1,915,288 $2,154,680 Variable factory During the current quarter, the company operated at 90% of capacity and produced 51,300 units of product actual direct labor totaled 304,800 hours. Units produced were assigned the following standard costs. Direct materials (1,539,880 Ibs. $4.88 per Ib.) Direct labor (387,8?? hrs-@ $14 per hr.) Factory overhead (387,aee hrs, a $16 per hr.) Total standard cost $ 7,387,28e 4,309,20e 4,924,se $16, 621,200 Actual costs incurred during the current quarter follow Direct materials (1,519, eee Ibs. @?7.30 per $11,088,700 lb.) Direct labor (384, 899 hrs. g$13.8 per hr) 3,962,400 Fixed factory overhead costs Variable factory overhead costs Total actual costs 2,337,0ee 2,187,8?? $19,575,90 Required: . Compute the direct materials cost variance, including ts price and quantity variances AQ = Actual Quantity sa Standard Quantity AP Actual Price SP Standard Price

Explanation / Answer

TRICP Company The direct material cost variance Actual cost Standard cost AQ X AP =11088700 Given AQ X SP =1519000*4.8 SQ X SP =51300*30*4.8 11088700 7291200 7387200 -3797500 96000 Direct material quantity variance 96000 Favorable Direct Material price variance 3797500 Unfavourable Direct material cost variance 3701500 Unfavourable Direct labor cost Variance Actual cost Standard cost AH X AR 3962400 Given AH X SR =304800*14 SH X SR =51300*6*14 3962400 4267200 4309200 304800 42000 Direct Labor efficiency variance 42000 Favorable Direct Labor rate variance 304800 Favorable Direct material cost variance 346800 Favorable Overhead controllable and volume variance Controllable variance Actual overhead 4524800 =2337000+2187800 Budgeted overhead 4596000 =2462400+2133600 Controllable variance 71200 Favourable In the absense of any information total overhead controllable variance is calculated above Fixed overhead volume variance Budgeted fixed cost 2462400 Fixed overhead cost applied 2770200 =307800*9 Fixed overhead volume variance 307800 Favourable Computation of variable overhead spending and efficiency variance Actual variable overhead cost Flexible budget Standard cost(VOH applied) AH X AVR 2187800 Given AH X SVR =304800*7 SH X SVR =51300*6*7 2187800 2133600 2154600 -54200 21000 Variable Overhead efficiency variance 21000 Favorable Variable Overhead spending variance 54200 Unfavourable Computation of fixed overhead spending and volume variance Actual fixed overhead cost Budgeted overhead Standard cost(FOH applied) AH X AFR 2337000 Given AH X SVR =304800*7 SH X SFR =51300*6*9 2337000 2462400 2770200 125400 307800 Variable Overhead efficiency variance 307800 Favorable Variable Overhead spending variance 125400 Favorable Total Overhead controllable variance Controllable variance Actual overhead 4524800 =2337000+2187800 Budgeted overhead 4596000 =2462400+2133600 Controllable variance 71200 Favourable

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