0% Plagiarism Guaranteed & Custom Written

Compute price and usage variances for direct materials.Compute the direct labor rate and labor efficiency variances. Compute the fixed overhead spending and volume variances. Intercept the volume variance.

05 / 03 / 2018 Assignment

This paper circulates around the core theme of Compute price and usage variances for direct materials.Compute the direct labor rate and labor efficiency variances. Compute the fixed overhead spending and volume variances. Intercept the volume variance. together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 45. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.

Algers Company produces dry fertilizer. At the beginning of the year, Algers had the following standard cost sheet:

Direct materials (5lbs. @ $2.60) $13.00

Direct Labor (0.75 hr @ $18.00) 13.50

Fixed overhead (0.75 hr @ $4.00) 3.00

Variable overhead (0.75 hr @ $3.00) 2.25

Standard cost per unit $31.75

Algers computers is overhead rates using practical volume, which is 54,000 units. The actual results for the year are as follows:

a. Units produced: 53,000

b. Direct materials purchased: 274,000 pounds at $2.50 per pound

c. Direct materials used: 270,300 pounds

d. Direct labor: 40,100 hours at $17.95 per hour

e. Fixed overhead: $161,700

f. Variable overhead: $122,000

Required:

1. Compute price and usage variances for direct materials.

2. Compute the direct labor rate and labor efficiency variances.

3. Compute the fixed overhead spending and volume variances. Intercept the volume variance.

4. Compute the variable overhead spending and efficiency varainces.

5. Prepare journal entries for the following:

a. The purchase of direct materials

b. The issurance of direct materials to production (Work in Process)

c. The addition of direct labor to Work in Process

d. The addition of overhead to Work in Process

e. The incurrence of actual overhead costs

f. Closing out of variances to Cost of Goods Sold


100% Plagiarism Free & Custom Written


International House, 12 Constance Street, London, United Kingdom,
E16 2DQ

Company # 11483120

STILL NOT CONVINCED?

We've produced some samples of what you can expect from our Academic Writing Service - these are created by our writers to show you the kind of high-quality work you'll receive. Take a look for yourself!

View Our Samples

Benefits You Get

  • Free Turnitin Report
  • Unlimited Revisions
  • Installment Plan
  • 24/7 Customer Support
  • Plagiarism Free Guarantee
  • 100% Confidentiality
  • 100% Satisfaction Guarantee
  • 100% Money-Back Guarantee
  • On-Time Delivery Guarantee
FLAT 25% OFF ON EVERY ORDER. Use "FLAT25" as your promo code during checkout