Question :
116. The following data given for the Zoyza Company:
Budgeted production
26,000 units
: 1226998
116. The following data is given for the Zoyza Company:
Budgeted production
26,000 units
Actual production
27,500 units
Materials:
Standard price per ounce
$6.50
Standard ounces per completed unit
8
Actual ounces purchased and used in production
228,000
Actual price paid for materials
$1,504,800
Labor:
Standard hourly labor rate
$22 per hour
Standard hours allowed per completed unit
6.6
Actual labor hours worked
183,000
Actual total labor costs
$4,020,000
Overhead:
Actual and budgeted fixed overhead
$1,029,600
Standard variable overhead rate
$24.50 per standard labor hour
Actual variable overhead costs
$4,520,000
Overhead is applied on standard labor hours. The factory overhead controllable variance is: A. $73,250FB. $73,250UC. $59,400FD. $59,400U
117. The following data is given for the Zoyza Company:
Budgeted production
26,000 units
Actual production
27,500 units
Materials:
Standard price per ounce
$6.50
Standard ounces per completed unit
8
Actual ounces purchased and used in production
228,000
Actual price paid for materials
$1,504,800
Labor:
Standard hourly labor rate
$22 per hour
Standard hours allowed per completed unit
6.6
Actual labor hours worked
183,000
Actual total labor costs
$4,020,000
Overhead:
Actual and budgeted fixed overhead
$1,029,600
Standard variable overhead rate
$24.50 per standard labor hour
Actual variable overhead costs
$4,520,000
Overhead is applied on standard labor hours. The factory overhead volume variance is: A. $73,250UB. $73,250FC. $59,400FD. $59,400U
118. The St. Augustine Corporation originally budgeted for $360,000 of fixed overhead. Production was budgeted to be 12,000 units. The standard hours for production were 5 hours per unit. The variable overhead rate was $3 per hour. Actual fixed overhead was $360,000 and actual variable overhead was $170,000. Actual production was 11,700 units. Compute the factory overhead controllable variance. A. $9,000FB. $9,000UC. $5,500FD. $5,500U
119. The St. Augustine Corporation originally budgeted for $360,000 of fixed overhead. Production was budgeted to be 12,000 units. The standard hours for production were 5 hours per unit. The variable overhead rate was $3 per hour. Actual fixed overhead was $360,000 and actual variable overhead was $170,000. Actual production was 11,700 units. Compute the factory overhead volume variance. A. $9,000FB. $9,000UC. $5,500FD. $5,500U
120.
Standard
Actual
Variable OH Rate
$3.35
Fixed OH Rate
$1.80
Hours
18,900
17,955
Fixed Overhead
$46,000
Actual Variable Overhead
$67,430
Total Factory Overhead
$101,450
Calculate the total factory overhead cost variance using the above information: A. $4,866.75 UnfavorableB. $4,866.75 FavorableC. $8,981.75 FavorableD. $8,981.75 Unfavorable
121.
Standard
Actual
Variable OH Rate
$3.35
Fixed OH Rate
$1.80
Hours
18,900
17,955
Fixed Overhead
$46,000
Actual Variable Overhead
$67,430
Total Factory Overhead
$101,450
Calculate the fixed factory overhead volume variance using the above information: A. $1,701 FavorableB. $4,866.75 UnfavorableC. $1,701 UnfavorableD. $4,866.75 Favorable
122.
Standard
Actual
Variable OH Rate
$3.35
Fixed OH Rate
$1.80
Hours
18,900
17,955
Fixed Overhead
$46,000
Actual Variable Overhead
$67,430
Total Factory Overhead
$101,450
Calculate the variable factory overhead controllable variance using the above information: A. $8,981.75 FavorableB. $7,280.75 UnfavorableC. $8,981.75 UnfavorableD. $7,280.75 Favorable
123. A negative fixed overhead volume variance can be caused due to the following except: A. Sales orders at a low levelB. Machine breakdownsC. Employee inexperienceD. Increase in utility costs
124. At the end of the fiscal year, variances from standard costs are usually transferred to the: A. direct labor accountB. factory overhead accountC. cost of goods sold accountD. direct materials account
125. Variances from standard costs are usually reported to: A. suppliersB. stockholdersC. managementD. creditors
126. If at the end of the fiscal year the variances from standard are significant, the variances should be transferred to the: A. work in process account onlyB. cost of goods sold account onlyC. finished goods account onlyD. work in process, cost of goods sold, and finished goods accounts
127. Assuming that the Morocco Desk Co. purchases 8,000 feet of lumber at $6.00 per foot and the standard price for direct materials is $5.00, the entry to record the purchase and unfavorable direct materials price variance is: A. Direct Materials 40,000Direct Materials Price Variance 8,000 Accounts Payable 48,000B. Direct Materials 40,000 Accounts Payable 40,000C. Direct Materials 48,000 Direct Materials Price Variance 8,000 Accounts Payable 40,000D. Work in Process 48,000 Direct Materials Price Variance 8,000 Accounts Payable 40,000
128. A company records their inventory purchases at standard cost but also records purchase price variances. The company purchased 5,000 widgets $8.00. The standard cost for the widgets is $7.80. Which of the following would be included in the journal entry? A. $39,000 Debit to Accounts PayableB. $1,000 Credit to Direct Materials Price VarianceC. $39,000 Credit to Accounts PayableD. $1,000 Debit to Direct Materials Price Variance
129. The use of standards for nonmanufacturing expenses is: A. not as common as it is for manufacturing costsB. as common as it is for manufacturing costsC. not usefulD. impossible
130. The total manufacturing cost variance is A. the difference between actual costs and standard costs for units produced.B. the flexible budget variance plus the time varianceC. the difference between planned costs and standard costs for units producedD. none of the above.
