90.2K

Verified Solution

Link Copied!

1.14points

eBook

Print

References

Check my workCheck My Work button is now enabled4

Item 7

Item 7 1.14 points

Barley Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows:

	Standard Quantity		Standard Price (Rate)			Standard Unit Cost
Direct materials (clay)	1.7	lbs.	$	1.80	per lb.	$	3.06
Direct labor	1.7	hrs.	$	14	per hr.		23.80
Variable manufacturing overhead (based on direct labor hours)	1.7	hrs.	$	1.1	per hr.		1.87
Fixed manufacturing overhead ($456,000 190,000 units)							2.40

Barley Hopp had the following actual results last year:

Number of units produced and sold		195,000
Number of pounds of clay used		358,200
Cost of clay	$	680,580
Number of labor hours worked		240,000
Direct labor cost	$	4,680,000
Variable overhead cost	$	380,000
Fixed overhead cost	$	430,000

Required: 1 & 2. Calculate the fixed overhead spending variance and volume variance for Barley Hopp. 3. Calculate the total over- or underapplied fixed manufacturing overhead for Barley Hopp.

1& 2 Calculate the fixed overhead spending variance and volume varlance for Barley Hopp. 3. Calculate the total over- or underapplied fixed manufacturing overhead for Barley Hopp. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Calculate the total over- or underapplied fixed manufacturing overhead for Barley Hopp. (Do not round your intermediate calculations.) Fixed overhead

Answer & Explanation Solved by verified expert

See Answer