Homework Help is Here – Start Your Trial Now!
Business
Accounting
Walkenhorst Company's machining department prepared its 2022 budget based on the following data Practical capacity Standard machine hours per unit Standard variable factory overhead Budgeted fixed factory overhead 40,000 units 2 $3.00 per machine hour $ 296,000 The department uses machine hours to apply factory overhead to production in 2022, the department used 86,300 machine hours and incurred $565,000 in total manufacturing overhead cost to manufacture 42,120 units. Actual fixed overhead cost for the year was $308,000 Required: Determine for the year 1. The fixed, variable, and total factory overhead application rates (per machine hour) (Round your answers to 2 decimal places) 2. The total flexible budget, for factory overhead cost based on output achieved in 2022 3. The production volume variance State whether this variance was favorable (F) or unfavorable (U) 4. The total overhead spending variance. State whether this variance was favorable (F) or unfavorable (U) 5. The overhead efficiency variance. State whether this variance was favorable (F) or unfavorable (U) 6. The variable overhead spending variance and the fixed overhead spending variance. State whether each variance is favorable (F) or unfavorable (U) 1 Faxed overhead application rate Variable overhead application rate Total factory overhead application rate 2. Total flexible budget for overhead cost 3 Production volume variance 4 Total overhead spending variance 5 Overhead efficiency vanance 6 Vanable overhead spending variance variance

Walkenhorst Company's machining department prepared its 2022 budget based on the following data Practical capacity Standard machine hours per unit Standard variable factory overhead Budgeted fixed factory overhead 40,000 units 2 $3.00 per machine hour $ 296,000 The department uses machine hours to apply factory overhead to production in 2022, the department used 86,300 machine hours and incurred $565,000 in total manufacturing overhead cost to manufacture 42,120 units. Actual fixed overhead cost for the year was $308,000 Required: Determine for the year 1. The fixed, variable, and total factory overhead application rates (per machine hour) (Round your answers to 2 decimal places) 2. The total flexible budget, for factory overhead cost based on output achieved in 2022 3. The production volume variance State whether this variance was favorable (F) or unfavorable (U) 4. The total overhead spending variance. State whether this variance was favorable (F) or unfavorable (U) 5. The overhead efficiency variance. State whether this variance was favorable (F) or unfavorable (U) 6. The variable overhead spending variance and the fixed overhead spending variance. State whether each variance is favorable (F) or unfavorable (U) 1 Faxed overhead application rate Variable overhead application rate Total factory overhead application rate 2. Total flexible budget for overhead cost 3 Production volume variance 4 Total overhead spending variance 5 Overhead efficiency vanance 6 Vanable overhead spending variance variance

Managerial Accounting
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter9: Evaluating Variances From Standard Costs
Section: Chapter Questions
Problem 4PA: Factory overhead cost variance report Tiger Equipment Inc., a manufacturer of construction...
See similar textbooks
icon
Related questions
Topic Video
Question
Walkenhorst Company's machining department prepared its 2022 budget based on the following data Practical capacity Standard machine hours per unit Standard variable factory overhead Budgeted fixed factory overhead The department uses machine hours to apply factory overhead to production. In 2022, the department used 86,300 machine hours and incurred $565,000 in total manufacturing overhead cost to manufacture 42,120 units. Actual fixed overhead cost for the year was $308,000 40,000 units $3.00 per machine hour $ 290,000 Required: Determine for the year 1. The fixed, variable, and total factory overhead application rates (per machine hour) (Round your answers to 2 decimal places) 2. The total flexible budget, for factory overhead cost based on output achieved in 2022. 3. The production volume variance State whether this variance was favorable (F) or unfavorable (U) 4. The total overhead spending variance. State whether this variance was favorable (F) or unfavorable (U) 5. The overhead efficiency variance. State whether this variance was favorable (F) or unfavorable (U). 6. The variable overhead spending variance and the foxed overhead spending variance. State whether each variance is favorable (F) or unfavorable (U) 1 Fixed overhead application rate Variable overhead application rate Total factory overhead application rate 2. Total flexible budget for overhead cost 3 Production volume variance 4 Total overhead spending variance 5 Overhead efficiency vanance 6 Vanable overhead spending variance Fixed overhead spending variance
Transcribed Image Text:Walkenhorst Company's machining department prepared its 2022 budget based on the following data Practical capacity Standard machine hours per unit Standard variable factory overhead Budgeted fixed factory overhead The department uses machine hours to apply factory overhead to production. In 2022, the department used 86,300 machine hours and incurred $565,000 in total manufacturing overhead cost to manufacture 42,120 units. Actual fixed overhead cost for the year was $308,000 40,000 units $3.00 per machine hour $ 290,000 Required: Determine for the year 1. The fixed, variable, and total factory overhead application rates (per machine hour) (Round your answers to 2 decimal places) 2. The total flexible budget, for factory overhead cost based on output achieved in 2022. 3. The production volume variance State whether this variance was favorable (F) or unfavorable (U) 4. The total overhead spending variance. State whether this variance was favorable (F) or unfavorable (U) 5. The overhead efficiency variance. State whether this variance was favorable (F) or unfavorable (U). 6. The variable overhead spending variance and the foxed overhead spending variance. State whether each variance is favorable (F) or unfavorable (U) 1 Fixed overhead application rate Variable overhead application rate Total factory overhead application rate 2. Total flexible budget for overhead cost 3 Production volume variance 4 Total overhead spending variance 5 Overhead efficiency vanance 6 Vanable overhead spending variance Fixed overhead spending variance
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 8 steps with 8 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Performance measurements
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Excel Applications for Accounting Principles
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS