Question :
Answer the following questions using the information below:
Christine Corporation manufactures : 1217268
Answer the following questions using the information below:
Christine Corporation manufactures baseball uniforms and uses budgeted machine-hours to allocate variable manufacturing overhead. The following information pertains to the company’s manufacturing overhead data:
Budgeted output units10,000 units
Budgeted machine-hours15,000 hours
Budgeted variable manufacturing overhead costs for 20,000 units$180,000
Actual output units produced9,000 units
Actual machine-hours used14,000 hours
Actual variable manufacturing overhead costs$171,000
7) What is the budgeted variable overhead cost rate per output unit?
A) $12.00
B) $12.21
C) $18.00
D) $19.00
Answer the following questions using the information below:
Fearless Frank’s Fertilizer Farm produces fertilizer and distributes the product by using his tanker trucks. Frank’s uses budgeted fleet hours to allocate variable manufacturing overhead. The following information pertains to the company’s manufacturing overhead data:
Budgeted output units600 truckloads
Budgeted fleet hours450 hours
Budgeted pounds of fertilizer24,000,000 pounds
Budgeted variable manufacturing overhead costs for 600 loads$75,000
Actual output units produced and delivered630 truckloads
Actual fleet hours436 hours
Actual pounds of fertilizer produced and delivered25,200,000 pounds
Actual variable manufacturing overhead costs$76,500
8) What is the budgeted variable overhead cost rate per output unit?
A) $120.00
B) $125.00
C) $166.67
D) $175.00
9) Standard costing is a costing system that allocates overhead costs on the basis of the standard overhead-cost rates times the standard quantities of the allocation bases allowed for the actual outputs produced.
10) For calculating the cost of products and services, a standard costing system must track actual costs.
11) Standard costing is a cost system that allocates overhead costs on the basis of overhead cost rates based on actual overhead costs times the standard quantities of the allocation bases allowed for the actual outputs produced.
12) The budget period for variable-overhead costs is typically less than 3 months.
Objective 8.3
1) The variable overhead flexible-budget variance measures the difference between:
A) actual variable overhead costs and the static budget for variable overhead costs
B) actual variable overhead costs and the flexible budget for variable overhead costs
C) the static budget for variable overhead costs and the flexible budget for variable overhead costs
D) None of these answers is correct.
2) A $5,000 unfavorable flexible-budget variance indicates that:
A) the flexible-budget amount exceeded actual variable manufacturing overhead by $5,000
B) the actual variable manufacturing overhead exceeded the flexible-budget amount by $5,000
C) the flexible-budget amount exceeded standard variable manufacturing overhead by $5,000
D) the standard variable manufacturing overhead exceeded the flexible-budget amount by $5,000
Answer the following questions using the information below:
Willis Corporation manufactures industrial-sized gas furnaces and uses budgeted machine-hours to allocate variable manufacturing overhead. The following information pertains to the company’s manufacturing overhead data:
Budgeted output units30,000 units
Budgeted machine-hours10,000 hours
Budgeted variable manufacturing overhead costs for 15,000 units$322,500
Actual output units produced44,000 units
Actual machine-hours used14,400 hours
Actual variable manufacturing overhead costs$484,000
3) What is the flexible-budget amount for variable manufacturing overhead?
A) $330,000
B) $473,000
C) $484,000
D) None of these answers is correct.
4) What is the flexible-budget variance for variable manufacturing overhead?
A) $11,000 favorable
B) $11,000 unfavorable
C) $8,600 favorable
D) None of these answers is correct.
