Brief Exercise 10-6 In the Assembly Department of Hannon Company, budgeted and a

Question

Brief Exercise 10-6 In the Assembly Department of Hannon Company, budgeted and actual manufacturing overhead costs for the month of April 2017 were as follows Budget Actual Indirect materials Indirect labor Utilities Supervision $14,000 21,900 10,000 4,900 $13,300 22,800 10,600 4,900 All costs are controllable by the department manager Prepare a responsibility report for April for the cost center HANNON COMPANY Assembly Department Manufacturing Overhead Cost Responsibility Report For the Month Ended April 30, 2017 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Controllable Cost Budget Actual

Explanation / Answer

Answer :

HANNON COMPANY. Assembly Department. Manufacturing Overhead Cost Responsibility Report. For the Month Ended April 30, 2017 Difference Controllable Cost Budget Actual Favorable Unfavorable Neither Favorable nor Unfavorable Indirect materials $14,000 $13,300 $700 Favorable Indirect labor 21,900 22,800 900 Unfavorable Utilities 10,000 10,600 600 Unfavorable Supervision 4,900 4,900 0 Neither Favorable nor Unfavorable $50,800 $51,600 $800 Unfavorable

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