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    Argosy University/ Phoniex University/
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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 18 Aug 2017 My Price 12.00

Hopp, Inc.

Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows:

  Standard   
Quantity   		 Standard Price
(Rate)		 Standard
Unit Cost
  Direct materials (clay) 1.7 lbs.     $ 1.80 per lb.      $ 3.06      
  Direct labor 1.7 hrs.     $ 10 per hr.   17.00      
  Variable manufacturing overhead
   (based on direct labor hours)		 1.7 hrs.     $ 1.1 per hr.   1.87      
  Fixed manufacturing overhead ($392,000 Af· 140,000 units)             2.80      
 
Barley Hopp had the following actual results last year:
     
  Number of units produced and sold   145,000  
  Number of pounds of clay used   258,200  
  Cost of clay $ 438,940  
  Number of labor hours worked   190,000  
  Direct labor cost $ 2,508,000  
  Variable overhead cost $ 280,000  
  Fixed overhead cost $ 410,000  
 
Required:
1.

Calculate the fixed overhead spending variance for Barley Hopp. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable,"U" for unfavorable.)
2.

Calculate the fixed overhead volume variance for Barley Hopp. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable,"U" for unfavorable.)
3.

Calculate the total over- or underapplied fixed manufacturing overhead for Barley Hopp. (Do not round your intermediate calculations.)

 

Answers

Maurice Tutor
(5)
Status NEW Posted 18 Aug 2017 04:08 PM My Price 12.00

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