Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

Q1) Barberry, Inc., produces a product called Fruta. Company utilizes standard cost system and has established following standards for one unit of Fruta:


Standard Quantity Standard Price or Rate Standard Cost
Direct materials 1.5 pounds $6.00 per pound $9.00
Direct Labor 0.6 hours $12.00 per hour 7.20
Variable manufacturing overhead 0.6 hours $2.503 per hour 1.50





$17.70

During June, company recorded this activity relative to production of Fruta:

a. Company produced 3,000 units during June.

b. Total of 8,000 pounds of material were bought at a cost of $46,000.

c. There was a no beginning inventory of materials; though, at the end of month, 2,000 pounds of material remainded in ending inventory.

d. Company employs 10 persons to work on production of Fruta. In June, each worked average of 160 hours at an average rate of $12.50 per hour.

e. Variable manufacturing overhead is allocated to Fruta on the basis of direct labor-hours. Variable producing overhead costs during June totaled $3,600.

Company's management is anxious to find out the efficeincy of Fruta production activities.

For direct materials utilized in production of Fruta:

find out variable overhead spending and efficiency variances. What relation you see between this efficiency variance and labor efficiency variances.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M918758

Have any Question? 


Related Questions in Accounting Basics

Accounting essayypou must identify a company that has

Accounting essay YPou must identify a company that has implemented "LEAN" or "Lean Six Sigma" technology in their organization. Clearly Identify the fundamental difference between LEAN and Six Sigma. Be certain to includ ...

Kent cpa is a staff auditor participating in the audit

Kent, CPA is a staff auditor participating in the audit engagement of Fort, Inc. Based upon each of the circumstances below, indicate whether or not Kent's actions impair his independence. Explain your response for each ...

Project - case 1davis dry goods distributes silk ties you

Project - Case 1 Davis Dry Goods distributes silk ties. You are in charge of creating Davis' master budget for the upcoming second quarter, April - June 2015. Davis desires a minimum ending cash balance each month of $11 ...

Individual internal accountants report to managementyou are

Individual Internal Accountants Report to Management You are the internal accountant at a company that is preparing for an upcoming government contract bid. The management in your company is deciding if it is necessary f ...

Discussion forumthis week we shall look at monopolistic

DISCUSSION Forum This week we shall look at Monopolistic Competition. This is where you, as a consumer, spend most of your time. In Monopolistic Competition, there are many companies selling similar but not identical pro ...

Assignmentapplication implementation of the balanced

Assignment Application: Implementation of the Balanced Scorecard APA Format Implementation of the Balanced Scorecard The term "balanced scorecard" became part of the professional accounting vernacular in the early 1990s. ...

Assignment questionbesar ltd acquired all of the shares in

Assignment Question Besar Ltd acquired all of the shares in Kecil Ltd on 1 July 2015. At that date, equity of Kecil Ltd consisted of: Share Capital $2 000 000 Retained earnings 800 000 At 1 July 2015, all the assets and ...

Discussion 1 and 2discussion 1select one of the following

Discussion 1 and 2 Discussion 1 Select one of the following tools: the nine steps in Ackerman and Anderson's roadmap for change, Cummings and Worley's five dimensions of leading and managing change, or the three componen ...

Accounting discussion questionbulluse the internet to

Accounting Discussion Question • Use the Internet to research an annual report of a retail company. • Then, imagine you are an investor or creditor; suggest the ratios that you believe would provide an investor or credit ...

Discussionaccounting irregularities please respond to the

Discussion "Accounting Irregularities" Please respond to the following: • Imagine that you were auditing accounts receivable balances to confirm sales and found significant discrepancies between the recorded account bala ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen