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Social Science Clinic => Accounting => Topic started by: soccerdreamer_17 on Mar 6, 2021

Title: Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. However, ...
Post by: soccerdreamer_17 on Mar 6, 2021
Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. However, while manufacturing the 2,500 units the microcomputer that contained the month's cost information broke down. With the computer out of commission, the accountant has been unable to complete the variance analysis report. The information missing from the report is lettered in the following set of data:
 
Variable overhead:
 Standard cost per unit: 1.2 labor hour at $10 per hour
 Actual costs: $26,250 for 2,250 hours
 Flexible budget: a
 Total flexible-budget variance: 
 Variable overhead spending variance: c
 Variable overhead efficiency variance: 

Fixed overhead:
 Budgeted costs: e
 Actual costs: f
 Flexible-budget variance: $200 favorable 

Required:
Compute the missing elements in the report represented by the lettered items.
Title: Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. However, ...
Post by: djofnc on Mar 6, 2021
a.2,500 × 1.2 × $10 = $30,000 
b.$26,250 − $30,000 = $3,750 favorable 
c.$26,250 − (2,250 × $10) = $3,750 unfavorable 
d.(($2,500 × 1.2) − 2,250) × $10 = $7,500 favorable 
e.$55,000 − $30,000 = $25,000 
f.$25,000 − $200 favorable = $24,800 
Title: Re: Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. Howe
Post by: CR L on Jun 19, 2022
THANK YOU!!
Title: Re: Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. Howe
Post by: Bradley Lee on Jun 20, 2022
GOOD~
Title: Re: Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. Howe
Post by: CR L on Jun 21, 2022
good~
Title: Re: Neon Company manufactured 2,500 units during April with a total overhead budget of $55,000. Howe
Post by: kaad sija on Dec 1, 2022
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