Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. preble company manufactures one product. its varia

Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on...

60.1K

Verified Solution

Question

Accounting

Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows:

Direct materials: 5 pounds at $10 per pound $ 50
Direct labor: 4 hours at $14 per hour 56
Variable overhead: 4 hours at $4 per hour 16
Total standard cost per unit $ 122

The planning budget for March was based on producing and selling 29,000 units. However, during March the company actually produced and sold 34,200 units and incurred the following costs:

  1. Purchased 180,000 pounds of raw materials at a cost of $9.50 per pound. All of this material was used in production.
  2. Direct laborers worked 74,000 hours at a rate of $15 per hour.
  3. Total variable manufacturing overhead for the month was $440,300.

Foundational 10-1 (Algo)

Required:

1. What raw materials cost would be included in the companys planning budget for March?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

QUESTION 1 The daily stream flow data for a particular catchment having an area of 6500 km2 are...

Civil Engineering
Q

Select 3 GISystems elements of the ArcGIS Online software platform (e.g. data layers, internet connection, etc.)...

Programming
Q

A Carnot heat engine within a piston cylinder has 10 kg of air as the working...

Mechanical Engineering
Q

Provide three predictions of items you think will happen in Europe in the next 10 years....

Economics
Q

Trigonometry An individual lifts an 882 9N barbell overhead t a height of 2m When...

Physics
Q

Use the given graph of f x x to find a number such that if...

Geometry
Q

Consider the expression ?640, which simplifies to an expression in the form A?B. Simplify thisexpression...

Basic Math
Q

Dilbert recently hired a roofer to do some necessary work. On the final bill, Dilbert...

Basic Math
Q

Why do you think PricewaterhouseCoopers took such extreme steps in response to the SEC investigation?...

Accounting
Q

comparative balance sheet for blue star airlines as of December 31, 2023 One common stock...

Accounting
Q

Problem #1 (15 points) Show and label your work clearly. No calculations = No credit....

Accounting
Q

eBook Direct Materials, Direct Labor, and Factory Overhead Cost Variance Analysis Mackinaw Inc. processes a...

Accounting