Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. robinwood fixtures manufactures two products, k4 a

Robinwood Fixtures manufactures two products, K4 and X7. The company prepares its master budget on...

90.2K

Verified Solution

Question

Accounting

Robinwood Fixtures manufactures two products, K4 and X7. The company prepares its master budget on the basis of standard costs. The following data are for September:

K4 X7
Standards
Direct materials 0.75 pounds at $6.00 per pound 1 pound at $6.60 per pound
Direct labor 1.25 hours at $24 per hour 1.5 hours at $30 per hour
Variable overhead (per direct labor-hour) $ 19.20 $ 21.00
Fixed overhead (per month) $ 402,408 $ 477,360
Expected activity (direct labor-hours) 17,250 23,400
Actual results
Direct material (purchased and used) 9,300 pounds at $5.40 per pound 14,100 pounds at $6.90 per pound
Direct labor 14,700 hours at $24.30 per hour 22,200 hours at $30.60 per hour
Variable overhead $ 291,060 $ 454,212
Fixed overhead $ 376,740 $ 475,200
Units produced (actual) 12,000 units 14,400 units

Required:

a. Prepare a variance analysis for each variable cost for each product.

b. Prepare a fixed overhead variance analysis for each product.

Note: For all requirements, Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.

image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students