Exam 23: Flexible Budgets and Standard Cost Systems

The total variable overhead variance is obtained by adding variable overhead cost variance and ________.

The following information relates to Regency Manufacturing's overhead costs for the month: Regency allocates manufacturing overhead to production based on standard direct labor hours. Regency reported the following actual results for last month: actual variable overhead,$14,500;actual fixed overhead,$5,400;actual production of 4,700 units at 0.22 direct labor hours per unit.The standard direct labor time is 0.20 direct labor hours per unit. Compute the variable overhead cost variance.(Round the answer to the nearest dollar. )

Lee Maritime Company manufactures special metallic materials and decorative fittings for luxury yachts that require highly skilled labor.Lee uses standard costs to prepare its flexible budget.For the first quarter of the year,direct materials and direct labor standards for one of their popular products were as follows: Direct materials: 3 pounds per unit;$4 per pound Direct labor: 5 hours per unit;$15 per hour Lee produced 5,000 units during the quarter.At the end of the quarter,an examination of the labor costs records showed that the company used 30,000 direct labor hours and actual total direct labor costs were $378,000.What is the direct labor cost variance? (Round any intermediate calculations to the nearest cent,and your final answer to the nearest dollar. )

Fisher Manufacturing uses a standard cost system.Data on standard costs and actual costs are as follows: *allocated based on direct labor hours *allocated on the basis of direct labor hours Give the journal entry to transfer the cost of units from Work-in-Process Inventory to Finished Goods Inventory.