Required information The Foundational 15 (LO10-1, LO10-2, LO10-3] The following information applies to the questions displayed below) 1 of 15 Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor hours and its standard cost card per unit is as follows: Book Direct mater als 5 pounds at $8.00 per pound Direct labori 2 hours at $14 per hour Variable overhead: 2 hours at 35 per hour Total standard cost per unit $40.00 28.00 10.00 $78.00 Print Ferences The planning budget for March was based on producing and selling 25,000 units. However, during March the company actually produced and sold 30,000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $7.50 per pound. All of this material was used in production b. Direct laborers worked 55,000 hours at a rate of $15.00 per hour. c. Total variable manufacturing overhead for the month was $280,500 Foundational 10-1 Required: 1. What raw materials cost would be included in the company's planning budget for March? 2. What raw materials cost would be included in the company's flexible budget for March? Raw material cost 3. What is the materials price variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) References Materials price variance 4. What is the materials quantity variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Materials quantity variance 5. If Preble had purchased 170,000 pounds of materials at $750 per pound and used 160.000 pounds in production, what would be the materials price variance for March? (Indicate the effect of each varlance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect (1, zero variance). Input all amounts os positive values.) Foundational 10-6 6. If Preble had purchased 170,000 pounds of materials at $7.50 per pound and used 160,000 pounds in production, what would be the materials quantity variance for March? (Indicate the effect of each variance by selecting "" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Materials quantity variance 7. What direct labor cost would be included in the company's planning budget for March? Direct labor cost Foundational 10-8 8. What direct labor cost would be included in the company's flexible budget for March? Direct labor cost Print References 9. What is the labor rate variance for March? (Indicate the effect of each variance by selecting F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Laborrate variance Foundational 10-10 Book Print 10. What is the labor efficiency variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Ferences Labor efficiency variance 11. What is the labor spending variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance.). Input all amounts as positive values.) Labor spending variance Foundational 10-12 12. What variable manufacturing overhead cost would be included in the company's planning budget for March? Variable manufacturing overhead cost Foundational 10-13 13. What variable manufacturing overhead cost would be included in the company's flexible budget for March? Variable manufacturing overhead cost Foundational 10-14 14. What is the variable overhead rate variance for March? (Indicate the effect of each variance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect le.. zero variance.). Input all amounts as positive values.) References Variable overhead s Foundational 10-15 15. What is the variable overhead efficiency variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Variable overhead officiency variance Required information The Foundational 15 (LO10-1, LO10-2, LO10-3] The following information applies to the questions displayed below) 1 of 15 Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor hours and its standard cost card per unit is as follows: Book Direct mater als 5 pounds at $8.00 per pound Direct labori 2 hours at $14 per hour Variable overhead: 2 hours at 35 per hour Total standard cost per unit $40.00 28.00 10.00 $78.00 Print Ferences The planning budget for March was based on producing and selling 25,000 units. However, during March the company actually produced and sold 30,000 units and incurred the following costs: a. Purchased 160,000 pounds of raw materials at a cost of $7.50 per pound. All of this material was used in production b. Direct laborers worked 55,000 hours at a rate of $15.00 per hour. c. Total variable manufacturing overhead for the month was $280,500 Foundational 10-1 Required: 1. What raw materials cost would be included in the company's planning budget for March? 2. What raw materials cost would be included in the company's flexible budget for March? Raw material cost 3. What is the materials price variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) References Materials price variance 4. What is the materials quantity variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Materials quantity variance 5. If Preble had purchased 170,000 pounds of materials at $750 per pound and used 160.000 pounds in production, what would be the materials price variance for March? (Indicate the effect of each varlance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect (1, zero variance). Input all amounts os positive values.) Foundational 10-6 6. If Preble had purchased 170,000 pounds of materials at $7.50 per pound and used 160,000 pounds in production, what would be the materials quantity variance for March? (Indicate the effect of each variance by selecting "" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Materials quantity variance 7. What direct labor cost would be included in the company's planning budget for March? Direct labor cost Foundational 10-8 8. What direct labor cost would be included in the company's flexible budget for March? Direct labor cost Print References 9. What is the labor rate variance for March? (Indicate the effect of each variance by selecting F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Laborrate variance Foundational 10-10 Book Print 10. What is the labor efficiency variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Ferences Labor efficiency variance 11. What is the labor spending variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance.). Input all amounts as positive values.) Labor spending variance Foundational 10-12 12. What variable manufacturing overhead cost would be included in the company's planning budget for March? Variable manufacturing overhead cost Foundational 10-13 13. What variable manufacturing overhead cost would be included in the company's flexible budget for March? Variable manufacturing overhead cost Foundational 10-14 14. What is the variable overhead rate variance for March? (Indicate the effect of each variance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect le.. zero variance.). Input all amounts as positive values.) References Variable overhead s Foundational 10-15 15. What is the variable overhead efficiency variance for March? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance.). Input all amounts as positive values.) Variable overhead officiency variance