could you please help me in this matter ive gotten stuck multiple times with how

Question

could you please help me in this matter ive gotten stuck multiple times with how to fill in this sheet I have problems A but need help on C. D, & E

Marek Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers, and the company has the capacity to produce up to 12,000 helmets Marek's budgeted costs for 10,000 helmets are as follows (V = variable): Rent on factory equipment Insurance on factory building Raw materials (plastic) Utility costs for the factory S 6,000 1,500 70,000V 900 V 46,000 V 1.100V Supplies for general office 300 Wages for assembly line workers De preciation on office equipment Misc. materials (oil, solder, fasteners Factory manager's salary Property taxes on factory building Advertising for helmets Sales commissions 800 5,700 400 11,000 7.000 V Depreciation on factory building 1.500 Standard cost data for one helmet is as follows: Direct material: Direct labor: 7 lbs. of plastic $1.00/1b. 5 hrs.@$9.20/hr. INSTRUCTIONS (Can be done either alone or in groups of 2 or 3): a) Classify the costs as follows: DM. DL, MO, Period. Total the dollar amounts in b) Compute the predetermined overhead rate, using direct labor hours as the activity c) Prepare a condensed Flexible Budget assuming that 8,000, 9,000, 10,000 and d) Prepare a condensed Flexible Budget Report. (See p. 1117, 11. 24-16.) Nine each column. (See p. 719, Ill. 15-4. Use S amounts, not Xs) base. (See p. 1069, Il1. 23-10.) 11,000 helmets are produced. Include the following four line items: Direct material, Direct labor, Variable MO, Fixed MO. (See p. 1115, Il1. 24-13.) thousand (9,000) helmets are produced. Actual usage and spending is as follows: Direct material Direct labor Variable MO Fixed MO 62,000 lbs. $1.10/1b 4,600 hrs. @ $9.10/hr $2.000 $15,000 e) Compute and label 1) the quantity and price variances for direct material and direct labor, and 2) the total overhead variance. (See Ch. 25.) Check figures: Predetermined OH rate is $3.42/direct labor hour. In part d), the total budget amount is $121,300.

Explanation / Answer

c)

Direct material per unit = $70000 / 10000 = $7

Direct labor per unit = $46000 / 10000 = $4.60

Variable mfg. overhead per unit = $2000 / 10000 = $0.20

d)

Direct material = 62000 lbs x $1.10 = $68200

Direct labor = 4600 hrs x $9.10 = $41860

e)

Note: Only c, d, and e done as requested.

Helmets produced 8000 9000 10000 11000 Direct material $ 56000 63000 70000 77000 Direct labor 36800 41400 46000 50600 Variable mfg. overhead 1600 1800 2000 2200 Fixed mfg. overhead 15100 15100 15100 15100 Total $ 109500 121300 133100 144900

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