19- The following data are given for Bahia Company: Round your final answer to t

Question

19- The following data are given for Bahia Company:

Round your final answer to the nearest dollar.

The fixed factory overhead volume variance is:

20- Use this information to answer the question that follow.

The following data relate to direct materials costs for February:

Materials cost per yard: standard, $1.94; actual, $2.05
Standard yards per unit: standard, 4.64 yards; actual, 5.18 yards
Units of production: 9,100

Calculate the direct materials quantity variance.

Budgeted production (at 100% of normal capacity) 1,023 units Actual production   960 units Materials:     Standard price per pound $1.82     Standard pounds per completed unit 12     Actual pounds purchased and used in production 11,174     Actual price paid for materials $22,907 Labor:     Standard hourly labor rate $14.66 per hour     Standard hours allowed per completed unit 4.3     Actual labor hours worked 4,944     Actual total labor costs $75,396 Overhead:     Actual and budgeted fixed overhead $1,133,000     Standard variable overhead rate $26.00 per standard labor hour     Actual variable overhead costs $138,432 Overhead is applied on standard labor hours.

Explanation / Answer

Answer for 19)

Fixed factory volume variance:

(Actual volume-budgeted volemes)×std. Cost per unit

(960units-1023 units)×($1.82×12 pound)

$1375.92 unfavorable.

Note:Volume variance will be unfavorable if actual units are less than budgeted.

Answer for 20)

Direct material quantity variance:

(STD. Quantity - actual quantity)×STD. Rate

[(4.64 yards×9100 units)-(5.18 yards×9100units)]×$1.94

$9533.16 unfavorable

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