Samson Equipment Ltd. is a company that manufactures an abdominal exerciser called The Ab Rippler. The...

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Accounting

Samson Equipment Ltd. is a company that manufactures anabdominal exerciser called The Ab Rippler. The followinginformation is for three of the company's activities in 2018:
                                                                  Rate per Output unit/Batch
                                                      Static                                 Actual
Activity         Activity Level   CostDriver          Budget         Cost
Manufacturing    Output unit Machinehours        $0.90         $1.05
Inspecting              Batch       Inspectionhours   $15.00         12.50
Packaging              Batch       Packaginghours     $5.50         $5.25
The output measure is the number of units produced.
                                                                                Static       Actual
                                                                               Budget      Amount
Number of unitsproduced                                    40,000        44,400
Number of machinehours                                    16,000        14,800
Batch size in terms of units produced:
      Inspection                                                              5                4
      Packaging                                                            20              25
Required:
a.    Calculate the flexible-budget variance foreach activity in 2018.
b.   Calculate the price and efficiency variances foreach activity in 2018.

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A Flexible Budget Variance Manufacturing 44400 16000 40000 090 14800 105 44400 036 15540 15984 15540 444 Favourable Inspecting 44400 See Answer

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Samson Equipment Ltd. is a company that manufactures anabdominal exerciser called The Ab Rippler. The followinginformation is for three of the company's activities in 2018: Rate per Output unit/Batch Static ActualActivity Activity Level CostDriver Budget CostManufacturing Output unit Machinehours $0.90 $1.05Inspecting Batch Inspectionhours $15.00 12.50Packaging Batch Packaginghours $5.50 $5.25The output measure is the number of units produced. Static Actual Budget AmountNumber of unitsproduced 40,000 44,400Number of machinehours 16,000 14,800Batch size in terms of units produced: Inspection 5 4 Packaging 20 25Required:a. Calculate the flexible-budget variance foreach activity in 2018.b. Calculate the price and efficiency variances foreach activity in 2018.