Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Managerial Accounting Expert

Dante’s Statue Company produces lawn statues for the hotels. The standard cost of producing one statue is:

Material (2 pounds @ Rs 22.50)        45
Labour (0.5 hours @ Rs 100)           50
Overhead                                        99
Total                                              194

Standard variable overhead is Rs 54 per unit and fixed annual overhead is Rs 900,000. At the start of 2004, expected production was 20,000 units. Throughout 2004, 22,000 statutes were produced. The following information, associated to actual costs incurred in 2004, is available

Purchased: 44,000 pounds of material for Rs 968,000
Used: 46,200 pounds of material
Worked: 10,300 labor hours costing Rs 1,133,000

Actual overhead incurred was Rs 2,080,000

Required:

a) describe that the standard overhead rate per unit is Rs 99.

b) Compute material, labor and overhead variances.

c) In brief comment on the possible causes of material and labor variances.

d) How might a favorable material price variance and an unfavorable labor efficiency variance be related to an unfavorable material usage variance? 

Managerial Accounting, Accounting

  • Category:- Managerial Accounting
  • Reference No.:- M96576

Have any Question? 


Related Questions in Managerial Accounting

May airlines is a leading business in travelling industry

May Airlines is a leading business in travelling industry and has experienced turbulent times during the past 10 years due to stiff competition and as a result of global slowdown in the world economy. It has now emerged ...

Accounting for managers- assignmentfinancial statement

Accounting for Managers- Assignment Financial Statement Analysis The following information relates to Harris Corporation. Account Current year Prior year Net sales (all credit) $520,125 $499,500 Cost of goods sold $375,9 ...

Assignmentpart 1use the following data for questions 1 and

Assignment Part 1 Use the following data for questions 1 and 2. Fox Company manufactures a specialty line of belts. The company uses a job-order costing system. Cost detail for the job follow: Units produced 5,000 belts ...

Task question 1 1000 wordsmather and peison 2006 report

Task Question 1 (1000 words) Mather and Peison (2006) report that public debt contracts tend to have a lower average number of accounting based debt covenants as well as less binding debt covenants relative to private de ...

Dillon jones and kline ltd is studying the acquisition of

Dillon, Jones, and Kline, Ltd. is studying the acquisition of two electrical component insertion systems for producing its sole product, the universal gismo. Data relevant to the systems follow. Model A: Variable costs, ...

Assignmentyou are a manager of table top limited a

Assignment You are a manager of Table Top Limited, a manufacturer of small tables . You have been instructed to prepare a budget for the next year's operations with the following forecast: The sales volume is forecast to ...

Task question 1 1000 wordsmather and peison 2006 report

Task Question 1 (1000 words) Mather and Peison (2006) report that public debt contracts tend to have a lower average number of accounting based debt covenants as well as less binding debt covenants relative to private de ...

Managerial accounting budgeting project- springthe

Managerial Accounting Budgeting Project- Spring The following is a Comprehensive Budgeting Problem. You and your team need to prepare a partial Master Budget and then continue on to analyze your data. This is an Excel ba ...

Decision making under uncertaintyproblem descriptionmangers

Decision Making Under Uncertainty Problem Description Mangers deal with a number of decisions about processes, capacity, location, inventory, etc. The process of making a decision is complicated because of the uncertaint ...

Assignment managerial accounting projectabstractyou are the

ASSIGNMENT: Managerial Accounting Project Abstract: You are the owner of your own company. Fast growth and the need to expand have made it necessary for you to seek financing from a local bank. However, you need to show ...

  • 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