Actual Hours � (Actual Rate - Standard Rate)
Which of the following is the formula to compute the variable manufacturing overhead rate variance?
$1,900 F
Terry's Tree Service produces parts for saws. The managerial accountant reported the labor data as outlined below. What is the direct labor rate variance for the period?
Terry's Tree Service
Labor Report
Actual direct labor hours used
38,000
Actual rate p
$102,000
Pool Manufacturing manufactures parts for one type of pool. The managerial accountant provided the following data for April:
Pool Manufacturing
Manufacturing Report for April
Number of parts produced
40,000 parts
Standard variable manufacturing overhead r
$1,050 F
Pilot Manufacturing prepared a report and noted budgeted fixed overhead costs of $3.75 per unit at 1,400 units. In November, the managerial accountant incurred actual fixed overhead costs of $4,200 and the actual production was 1,400 units.
What is Pilot
$18.00
Marshall's Toy Shop produces and sells small dolls for children. During the production process, the employees use six pounds of plastic for each doll, including an allowance for normal amounts of spoilage and waste. The manager can purchase the plastic fo
$2,500 unfavorable
Marty's Motors produces metal for parts in the automotive industry. The managerial accountant reported the following information at the end of the second quarter. What is the direct materials price variance? Is the direct materials price variance favorabl
Direct Materials (DM) Price Variance
Actual Quantity Purchased � (Actual Price - Standard Price) is the calculation to compute ________.
direct labor efficiency variance
Standard Rate � (Actual Hours - Standard Hours Allowed) is the formula to compute the ________.
$32,544 F
First Manufacturing produces and manufactures woodstoves. The managerial accountant at First Manufacturing provided the following report for October. What is the variable manufacturing overhead rate variance during October?
First Manufacturing
Manufacturi
fixed overhead budget variance
The ________ measures the difference between the actual fixed overhead costs incurred and the budgeted fixed overhead costs.
$81,000 U
Marshall's Upholstery produces buttons for couches. The managerial accountant reported the labor data as outlined below. What is the direct labor rate variance during January?
Marshall's Upholstery
Labor Report
Actual direct labor hours used
36,000
Actual
lack of timeliness
Each of the following includes an advantage of standard costs EXCEPT ________.
$212.50 F
Frames, Inc. provided a report of standard and actual total cost for direct labor during the month. Based on the following report, what is the direct labor efficiency variance?
Frames, Inc.
Labor Report
January
Standard Total Cost
Actual Total Cost
Direct
Standard costs
Which of the following represents the type of costs used to record the manufacturing costs entered into the inventory accounts?
$4,000 unfavorable
Hillen Enterprises produces wheat and flour for the baking industry. The managerial accountant reported the following information at the end of the first quarter. What is the direct materials price variance? Is the direct materials price variance favorabl
$4,000 U
Pool Manufacturing reported the following information for April. What is Pool Manufacturing's fixed overhead volume variance for April?
Pool Manufacturing
Manufacturing Report for April
Number of parts produced
40,000 parts
Standard fixed manufacturing ov
standard cost of direct labor
Standard Quantity of Direct Labor � Standard Price of Direct Labor is the calculation to compute ________.
Actual Hours � (Actual Rate - Standard Rate)
Which of the following is the formula to compute the direct labor rate variance?
is the difference between the actual variable manufacturing overhead costs incurred during the period and the amount of variable manufacturing overhead expected, considering the number of actual hours worked
The variable overhead rate variance ________ .
$26,250 F
Pool Manufacturing manufactures parts for one type of pool. The managerial accountant provided the following data for April:
Pool Manufacturing
Manufacturing Report for April
Number of parts produced
40,000 parts
Standard variable manufacturing overhead r
$2,500 unfavorable
Marty's Motors produces metal for parts in the automotive industry. The managerial accountant reported the following information at the end of the second quarter. What is the direct materials price variance? Is the direct materials price variance favorabl
Standard Rate � (Actual Hours - Standard Hours Allowed)
Which of the following is the formula to compute the direct labor efficiency variance?
Total Estimated Variable Manufacturing Overhead / Total estimated amount of the allocation base
Which of the following is the calculation to compute the predetermined variable manufacturing overhead rate?
$92,007.50
Pool Manufacturing manufactures parts for one type of pool. The managerial accountant provided the following data for March:
Pool Manufacturing
Manufacturing Report for March
Number of parts produced
35,000 parts
Standard variable manufacturing overhead r
the production manager purchases a large quantity of raw materials which results in the production manager overproducing to obtain a favorable fixed overhead variance
The unintended behavioral consequence, a disadvantage of standard costing, occurs when ________.
$14.98; $60,610 F
The managerial accountant at First Manufacturing needs to compute the actual variable manufacturing overhead costs to determine the variable overhead variance for November.
First, compute the actual variable manufacturing overhead rate for November and th
$131.25 U
Pilot Manufacturing prepared a report and noted budgeted fixed overhead costs of $3.25 per unit at 1,375 units. In October, the managerial accountant incurred actual fixed overhead costs of $4,600 and the actual production was 1,500 units.
What is Pilot M
$40 per Doll
Marshall's Toy Shop manufactures dolls. Marshall's uses 4 standard direct labor hours to produce each doll. The manager pays a standard price of $10 for each direct labor hour.
What is the standard cost of direct labor of each doll?
4 Direct Labor hours �
A debit to Accounts Receivable and a credit to Sales Revenue.
A debit to Cost of Goods Sold and a credit to Finished Goods Inventory
Which of the following journal entries represents the recording of the sale and release of inventory in a normal system?
$112,500 F
Pool Manufacturing manufactures parts for one type of pool. The managerial accountant provided the following data for March:
Pool Manufacturing
Manufacturing Report for March
Number of parts produced
35,000 parts
Standard variable manufacturing overhead r
a manager fails to compute updated variance costs
Lack of timeliness is a disadvantage of costing systems which may occur when ________.
Variable Manufacturing Overhead Rate
Total estimated variable Manufacturing Overhead / Total estimated amount of the allocation base is the calculation to compute the ________.
Actual Quantity Purchased � (Actual Price - Standard Price)
Which of the following is the calculation to compute the Direct Materials (DM) Price Variance?
Standard Quantity of Direct Labor � Standard Price of Direct Labor
Which of the following is the calculation to compute the standard cost of direct labor?
Unintended behavioral consequence
Which of the following best describes a disadvantage of standard costing which might occur when the production manager purchases a large quantity of raw materials which results in the production manager overproducing to obtain a favorable fixed overhead v
The variable overhead rate variance is directly tied to the efficiency with which the machine hours are used instead of the variable overhead rate variance.
Which of the following is NOT true about the variable overhead rate variance?
$71,050 F
Marty's Motors reported the actual cost of direct materials is $12.75 per pound. The standard cost per pound is $12.25. During the current period, the production manager used 10,200 pounds of direct materials and purchased 21,000 pounds. The standard quan
$3,125 U
The managerial accountant at Price's Productions reported the following information. What is the direct materials quantity variance?
Price's Productions
Actual direct materials used
16,250
Actual direct material cost per pound
$6.00
Standard direct materi
Standard Quantity of Direct Materials � Standard Price of Direct Materials
Which of the following is the calculation to compute the standard cost of direct materials?
$187.50 F
Frames, Inc. provided a report of standard and actual total cost of direct labor during December. Based on the following report, what is the direct labor rate variance?
Frames, Inc.
Labor Report
December
Standard Total Cost
Actual Total Cost
Direct labor
Raw materials; Work in process; Finished goods; Cost of goods sold
Which of the following represents the order and flow of manufacturing costs through the inventory accounts?