0 evaluări0% au considerat acest document util (0 voturi)
82 vizualizări1 pagină
Standard costing – lecture problem
The document provides standard and actual costs for direct materials, direct labor, and factory overhead for Eros, Inc. which produced 700,000 units. It asks to compute 8 variances: 1) materials price, 2) materials usage, 3) labor rate, 4) labor efficiency, 5) variable and fixed overhead spending, 6) variable overhead efficiency, 7) fixed overhead flexible budget, and 8) volume.
Standard costing – lecture problem
The document provides standard and actual costs for direct materials, direct labor, and factory overhead for Eros, Inc. which produced 700,000 units. It asks to compute 8 variances: 1) materials price, 2) materials usage, 3) labor rate, 4) labor efficiency, 5) variable and fixed overhead spending, 6) variable overhead efficiency, 7) fixed overhead flexible budget, and 8) volume.
Standard costing – lecture problem
The document provides standard and actual costs for direct materials, direct labor, and factory overhead for Eros, Inc. which produced 700,000 units. It asks to compute 8 variances: 1) materials price, 2) materials usage, 3) labor rate, 4) labor efficiency, 5) variable and fixed overhead spending, 6) variable overhead efficiency, 7) fixed overhead flexible budget, and 8) volume.
700,000 units@ Direct materials 600,000 units of materials @ P2.00 each P1.90 60,000 hours allowed for actual output @ P7.00 per 65,000 hours @ Direct labor hour P7.20 Factory P8.00/hr on normal capacity of 50,000 direct labor overhead hours: P6.00 for variable costs P396,000 variable P2.00 for fixed costs P130,000 fixed