13-49 Variances Study Appendix 13. Consider the following data regarding factory

ACC 561 Question 13-49 Variances Study Appendix 13. Consider the following data regarding factory overhead

Introduction to Management Accounting: Horngren, C. T., Sundem, G. L., Stratton, W. O., Burgstahler, D., & Schatzberg, J. (2008).

Introduction to Management Accounting (14th ed.). Upper Saddle River, New Jersey: Pearson-Prentice Hall.

Question 13-49, Variances, on p. 622

Axia College of University of Phoenix (UoP)

Question 13-49:

13-49 Variances, on p. 622 Study Appendix 13. Consider the following data regarding factory overhead:

Variable Fixed

Budget for actual hours of input $45,000 $70,000

Applied 41,000 64,800

Budget for standard hours allowed

for actual output achieved ? ?

Actual incurred 48,500 68,500

Using the above data, fill in the following blanks with the variance amounts. Use F for favorable or U for unfavorable for each variance.

Total Overhead Variable Fixed

1. Spending variance ______ ______ ______

2. Efficiency variance ______ ______ ______

3. Production-volume variance ______ ______ ______

4. Flexible-budget variance ______ ______ ______

5. Underapplied overhead ______ ______ ______

SOLUTION PREVIEW

Total Overhead      Variable            Fixed

1. Spending variance               ______              ______            ______

Overhead Spending Variance= Actual Fixed Overhead - Budgeted Fixed Overhead

Variable Spending Variance = $48,500 - $45,000

Fixed Spending Variance = $68,500 - $70,000

File name: 13-49-Variances-Study-Appendix-13.doc File type: application/msword Price: $6