Questions from Managerial Accounting

Q: Use the information in Exercise 7-3 and the following additional

Use the information in Exercise 7-3 and the following additional information to prepare a budgeted income statement for the month of July and a budgeted balance sheet for July 31. a. Cost of goods sol...

Q: BatCo makes metal baseball bats. Each bat requires 1 kg.

BatCo makes metal baseball bats. Each bat requires 1 kg. of aluminum at $18 per kg. and 0.25 direct labor hours at $20 per hour. Overhead is assigned at the rate of $40 per labor hour. What amounts wo...

Q: Refer to information in QS 8-2. Assume the actual

Refer to information in QS 8-2. Assume the actual cost to manufacture one metal bat was $40. Compute the cost variance and classify it as favorable or unfavorable. In QS 8-2 BatCo makes metal basebal...

Q: Juan Company’s output for the current period was assigned a $150

Juan Company’s output for the current period was assigned a $150,000 standard direct materials cost. The direct materials variances included a $12,000 favorable price variance and a $2,000 favorable q...

Q: Frontera Company’s output for the current period results in a $20

Frontera Company’s output for the current period results in a $20,000 unfavorable direct labor rate variance and a $10,000 unfavorable direct labor efficiency variance. Production for the current peri...

Q: Alvarez Company’s output for the current period yields a $20,

Alvarez Company’s output for the current period yields a $20,000 favorable overhead volume variance and a $60,400 unfavorable overhead controllable variance. Standard overhead charged to production fo...

Q: Refer to the information in QS 8-8. Alvarez records

Refer to the information in QS 8-8. Alvarez records standard costs in its accounts. Prepare the journal entry to charge overhead costs to the Goods in Process Inventory account and to record any varia...

Q: Mosaic Company applies overhead using machine hours and reports the following information

Mosaic Company applies overhead using machine hours and reports the following information. Compute the total variable overhead cost variance. Actual machine hours used . . . . . . . . . . . . . . . ....

Q: Farad, Inc. specializes in selling used SUVs. During the

Farad, Inc. specializes in selling used SUVs. During the first six months of 2013, the dealership sold 50 trucks at an average price of $9,000 each. The budget for the first six months of 2013 was to...

Q: Based on predicted production of 24,000 units, a company

Based on predicted production of 24,000 units, a company anticipates $300,000 of fixed costs and $246,000 of variable costs. If the company actually produces 20,000 units, what are the flexible budget...