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iragen [17]
3 years ago
15

Maxwell Company uses a standard cost accounting system and applies production overhead to products on the basis of machine hours

. The following information is available for the year just ended:
Standard variable-overhead rate per hour: $7.50
Standard fixed-overhead rate per hour: $12.40
Planned activity during the period: 19,000 machine hours
Actual production: 12,200 finished units
Machine-hour standard: Two completed units per machine hour
Actual variable overhead: $153,180
Actual total overhead: $432,900
Actual machine hours worked: 22,200
Required:
1. Calculate the budgeted fixed overhead for the year.
2. Compute the variable-overhead spending variance.
3. Calculate the company’s fixed-overhead volume variance.
4-a. Did Maxwell spend more or less than anticipated for fixed overhead? How much?
4-b. What was the difference in actual and anticipated overhead?
Business
1 answer:
FrozenT [24]3 years ago
8 0

Answer:

1. $235,600

2. $13,320 favorable

3. $159,960 Unfavorable

4-a. Maxwell spent more than anticipated for fixed overhead

b. $44,120

Explanation:

The computation of given question is shown below:-

1. Budgeted fixed overhead = Planned activity × Standard fixed overhead rate per hour

= 19,000 x $12.40

= $235,600

2. Variable Overhead Spending Variance = (Actual machine hours × Standard variable rate per hour) - Actual Variable Overhead

= 22,200 × $7.50 - $153,180

= $13,320 favorable

3. Fixed Overhead Volume Variance = Budgeted fixed overhead - Actual production × Standard hours for actual output × Standard fixed overhead rate per hour

= $235,600 - 6,100 × $12.40

= $159,960 Unfavorable

Note: Two completed units per machine hour

So, Standard hours for actual output = 12,200 ÷ 2

= 6,100

4-a. Maxwell spent more than anticipated for fixed overhead

b. Difference = Actual total overhead - Actual variable overhead - Budgeted fixed overhead

($432,900 - $153,180) - $235,600

= $44,120

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Answer:

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4 0
3 years ago
1. Purchased computers for $20,000 from Data Equipment on account. Select an effect 2. Paid $3,000 cash for May rent on storage
nata0808 [166]

Answer:

The question is not complete.

Here is the complete question:

Keystone Computer Timeshare Company entered into the following transactions during May 2017.

Describe the effect of each transaction on assets, liabilities, and stockholders' equity.

1. Purchased computers for $20,000 from Data Equipment on account. Select an effect

2. Paid $3,000 cash for May rent on storage space. Select an effect

3. Received $15,000 cash from customers for contracts billed in April. Select an effect

4. Performed computer services for Ryan Construction Company for $2,700 cash. Select an effect

5. Paid Midland Power Co. $11,000 cash for energy usage in May. Select an effect

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Select an effect

8. Incurred advertising expense for May of $840 on account.

Here is the answer:

Transaction   Effect on asset, liabilities and equity

  1                  Increase in asset(computer account) by $20,000

                     and increase in liabilities  (account payable) by

                      $20,000

 2                  Decrease in asset(cash account) by $3,000 and

                     decrease in equity (rent expense account) by

                      $3,000

 3.                 Increase in asset (cash account) by $15,000 and decrease in

                      asset (account receivable) by $15,000. Net effect is zero.

 4.                 Increase in asset (cash account) by $2,700 and increase in

                     equity (service revenue account) by $2,700

 5.                 Decrease in asset (cash account) by $11,000 and decrease in

                     equity (Energy expense account) by $11,000

 6.                 Increase in asset (cash account) by $32,000 and increase in

                     equity (common stock account) by $32,000

 7.                 Decrease in asset (cash account) by $20,000 and decrease in

                    liabilities (account payable) by $20,000

8.                 Increase in liabilities (accrued advertising expense) by $840

                    decrease in equity (advertising expense account) by $840

Explanation:

Assets are economic resources of the firm in which future economic benefits are expected to flow to the entity. Liabilities are the entity`s financial obligation to those who are not the owners of the business. Equity is the residual value after deducting am entity`s assets from its liabilities.

With this background, business transactions and events are recorded either as increase or decrease in asset, liabilities and equity.

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Answer:

Deceptive sales technique

Explanation:

Based on the information provided within the question it can be said that what the salesperson did in this scenario is an example of a Deceptive sales technique. This term refers to when a salesperson pushes a product or service on a customer with high-pressure by appealing to that individuals potential fears, greed, or vanity in order to convince them on purchasing the product. Exactly what the salesperson did to Jordan.

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Answer:

(B) Statistic

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Any characteristic that describes the population is known as a parameter, whereas a characteristic that defines the sample is a statistic. In the question given, the average lifetime of 11 years was derived from the sample of 100 engines as is thus a statistic.

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Wewaii [24]

Answer:

An operational framework can referred to as the guide for the policies, standards, objectives, training, processes of any organization.

The means in which the business is carried out is determined by the operational framework and it promoted the culture and identity. this may also involve good governance principles and develop the values and departments within the organization. several elements are contained in a different framework.

An example is that manufacturing framework will include the choice of layouts from the different type of layout. Batch processing continuous production, and so on can be decided. the department can think of implementing the Kaizen, Six Sigma methods for the quality improvement.

Explanation:

Solution

An operational framework refers to the guide for the policies, standards, objectives, training, processes of any organization.

The way in which the business is executed is decided by the operational framework and it promoted the culture and identity. this may also integrate good governance principles and develop the values and departments within the organization. several elements are included in a different framework.

Production framework :The manufacturing organizations can adjust to the different kinds of procedures, policies, and activities in the manufacturing department.

This will involve the process of selecting the actual layout, processes to produce the products, quality management methods, and further more. This is necessary as it will have a long-lasting impact on the general future and profitability of the organization.

An example is for this is that the manufacturing framework will involve the selection of layouts from the different kind of layout. Batch processing continuous production, and so on can be decided.

The department can think of implementing the Kaizen, Six Sigma methods for the quality improvement.

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