During the month of April 20X1 Winston Ltd. produce 6,700 dodgits. The cost of the materials in these dodgits was $48,240. Each dodgit used 4 kg of the material and it cost $1.80 per kg during the month. The standards for the production of dodgits for April were 4.2 kg of material per dodgit at a price of $1.60 per kg. The anticipated production for the month had been 6,500 dodgits. Using the reconciliation type of variance report, reconcile the standard cost and actual cost of the materials for dodgits for this period.

During the month of April 20X1 Winston Ltd. produce 6,700 dodgits. The cost of the materials in these dodgits was $48,240. Each dodgit used 4 kg of the material and it cost $1.80 per kg during the month. The standards for the production of dodgits for April were 4.2 kg of material per dodgit at a price of $1.60 per kg. The anticipated production for the month had been 6,500 dodgits. Using the reconciliation type of variance report, reconcile the standard cost and actual cost of the materials for dodgits for this period.

Name: 6During the month of April 20X1 Winston Ltd. produced6,700 dodgits. T
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Description: 6During the month of April 20X1 Winston Ltd. produced6,700 dodgits. The cost of the materials in thesedodgits was $48,240. Each dodgit used 4 kg of thematerial and it cost $1.80 per kg during the month.The standards for the production of dodgits for

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead

Section: Chapter Questions

Problem 10E: Standard unit cost and journal entries The normal capacity of Algonquin Adhesives Inc. is 40,000...

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Use the following information to complete Brief Exercises 10-34 and 10-35: Young Inc. produces plastic bottles. Production of 16-ounce bottles has a standard unit quantity of 0.45 ounce of plastic per bottle. During the month of June, 240,000 bottles were produced using 110,000 ounces of plastic. The actual cost of plastic was 0,042 per ounce, and the standard price was 0,045 per ounce. There is no beginning or ending inventories of plastic. 10-35 Materials Variances Refer to the information for Young Inc. above. Required: Calculate the materials price and usage variances using the columnar and formula approaches.
During the week of May 10, Hyrum Manufacturing produced and shipped 16,000 units of its aluminum wheels: 4,000 units of Model A and 12,000 units of Model B. The cycle time for Model A is 1.09 hours and for Model B is 0.47 hour. The following costs and production hours were incurred: Required: 1. Assume that the value-stream costs and total units shipped apply only to one model (a single-product value stream). Calculate the unit cost, and comment on its accuracy. 2. Assume that Model A is responsible for 40% of the materials cost. Calculate the unit cost for Models A and B, and comment on its accuracy. Explain the rationale for using units shipped instead of units produced in the calculation. 3. Calculate the unit cost for the two models, using DBC. Explain when and why this cost is more accurate than the unit cost calculated in Requirement 2.
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Shinto Corp. uses a standard cost system and manufactures one product. The variable costs per product follow: Budgeted fixed overhead costs for the month are $4,000, and Shinto expected to manufacture 2,000 units. Actual production, however, was only 1,800 units. Materials prices were 10% over standard, and labor rates were 5% over standard. Of the factory overhead expense, only 80% was used, and fixed overhead was $100 over budget. The actual variable overhead cost was $4,800. In materials usage, 8% more parts were used than were allowed for actual production by the standard, and 6% more labor hours were used than were allowed. Required: Calculate the materials and labor variances. Calculate the variances for overhead by the four-variance method. (Hint: First compute the fixed and variable overhead rates per hour.)
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April Industries employs a standard costing system in the manufacturing of its sole product, a park bench. They purchased 60,000 feet of raw material for $300,000, and it takes S feet of raw materials to produce one park bench. In August, the company produced 10,000 park benches. The standard cost for material output was $100,000, and there was an unfavorable direct materials quantity variance of $6,000. A. What is April Industries standard price for one unit of material? B. What was the total number of units of material used to produce the August output? C. What was the direct materials price variance for August?