Im a factory the budgeted and actual figures of the cost of materials and direct labour incurred in the production during the month of January are as under: Budgeted 1,00,000 Actual Units of Finished Goods Produced Materials : 90,000 Materials: Units 1,82,000 $0.52 $94640 2,00,000 Cost of Materials per unit Total Cost of Materials $0.5 $1,00,000 Direct Labour Hours (2 units of finished goods in one hour) 47,000 $2.10 per hour $98,700 50,000 $2.00 per hour $1,00,000 Wages Total Direct Labour Cost You are required to calculate the material and labour variances
Im a factory the budgeted and actual figures of the cost of materials and direct labour incurred in the production during the month of January are as under: Budgeted 1,00,000 Actual Units of Finished Goods Produced Materials : 90,000 Materials: Units 1,82,000 $0.52 $94640 2,00,000 Cost of Materials per unit Total Cost of Materials $0.5 $1,00,000 Direct Labour Hours (2 units of finished goods in one hour) 47,000 $2.10 per hour $98,700 50,000 $2.00 per hour $1,00,000 Wages Total Direct Labour Cost You are required to calculate the material and labour variances
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter9: Profit Planning And Flexible Budgets
Section: Chapter Questions
Problem 34BEA: Performance Report Based on Budgeted and Actual Levels of Production Bowling Company budgeted the...
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Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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Transcribed Image Text:Im a factory the budgeted and actual figures of the cost of materials
and direct labour incurred in the production during the month of
January are as under:
Budgeted
1,00,000
Actual
Units of Finished Goods Produced Materials :
90,000
Materials:
Units
1,82,000
$0.52
$94640
2,00,000
Cost of Materials per unit
Total Cost of Materials
$0.5
$1,00,000
Direct Labour Hours
|(2 units of finished goods in one hour)
47,000
50,000
$2.10 per hour
$98,700
$2.00 per hour
$1,00,000
Wages
Total Direct Labour Cost
You are required to calculate the material and labour variances
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