Bullseye Company manufactures dartboards. Its standard cost information follows: ...
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Bullseye Company manufactures dartboards. Its standard cost information follows:
Standard Quantity | Standard Price (Rate) | Standard Unit Cost | ||||||
Direct materials (cork board) | 2.00 | sq. ft. | $ | 2.10 | per sq. ft. | $ | 4.20 | |
Direct labor | 1 | hrs. | $ | 10.00 | per hr. | 10.00 | ||
Variable manufacturing overhead (based on direct labor hours) | 1 | hrs. | $ | 0.40 | per hr. | 0.40 | ||
Fixed manufacturing overhead ($60,000 200,000 units) | 0.30 | |||||||
Bullseye has the following actual results for the month of September:
Number of units produced and sold | 180,000 | |
Number of square feet of corkboard used | 370,000 | |
Cost of corkboard used | $ | 814,000 |
Number of labor hours worked | 188,000 | |
Direct labor cost | $ | 1,710,800 |
Variable overhead cost | $ | 73,000 |
Fixed overhead cost | $ | 51,000 |
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