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Author Question: Advanced Manufacturing Company reported: Actual fixed overhead$430,000Fixed manufacturing overhead ... (Read 136 times)

SGallaher96

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on: Mar 6, 2021

Question 1

What are the arguments for prorating a production-volume variance that has been deemed to be material among work-in-process, finished goods, cost and cost of goods sold as opposed to writing it all off to cost of goods sold?

Question 2

Advanced Manufacturing Company reported:
Actual fixed overhead$430,000
Fixed manufacturing overhead spending variance$19,000 favorable
Fixed manufacturing production-volume variance$24,000 unfavorable 

To isolate these variances at the end of the accounting period, John would debit Fixed Manufacturing Overhead Allocated for  ________.
◦ $411,000
◦ $425,000
◦ $430,000
◦ $435,000
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by SGallaher96 on Mar 6, 2021

tranoy

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Reply #1 on: Mar 6, 2021
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SGallaher96

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Reply 2 on: Mar 6, 2021
Wow, this really help

nanny

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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