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Markus, Inc. produces a specialaed machine part used in forkts. For last year's operations, the following data were gathered: Units produced: 55,000 Direct labor Actual variable overhead: $5,000 Markus employs a standard costing system. During the year, a variable overhead rate of $5.00 was used. The labor standard requires 0.50 hours per unit produced. The variable overhnad snenten and efficlency variances are, respectively 29,000 hours$9.00 I0.000 Uand .00 u. ONe of the OM00 Uard 0.000 OsOFad 00 . O.000 Fnd 2.00

Markus, Inc. produces a specialaed machine part used in forkts. For last year's operations, the following data were gathered: Units produced: 55,000 Direct labor Actual variable overhead: $5,000 Markus employs a standard costing system. During the year, a variable overhead rate of $5.00 was used. The labor standard requires 0.50 hours per unit produced. The variable overhnad snenten and efficlency variances are, respectively 29,000 hours$9.00 I0.000 Uand .00 u. ONe of the OM00 Uard 0.000 OsOFad 00 . O.000 Fnd 2.00

Principles of Cost Accounting
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 14P: Fargo Co. manufactures products in batches of 100 units per batch. The company uses a standard cost...
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Markus, Inc. produces a specialzed machine part used in forkts. For last year's operations, the following data were gathered: Units produced: 55,000 Direct labor Actual variable overhead: $135,000 Markus employs a standard costing system. During the year, a variable overhead rate of $5.00 was used. The labor standard requires 0.50 hours per unit produced. The variable overhnad snenten and efficency variances are, respectively 29,000 hours $9.00 O sa.000 u and 00u. O Nare of the O M00 U ard s0.000 S10,000 Fad s7500 u. Os0,000 Fand 7.00 Autry Company manufactures veterinary products. One joint process involves refining a chemical (dactylyte) into two chemicais - dac and tyl. One batch of 5,000 gallors of dactylyte can be converted to 2,000 galions of dac and 3,000 galons of tyl at a total joint processing cust of $12,000. At the spit-off point, dac can be sold for $ per galun and tyl can be sold for $4 per gallon. Autry has just leamed of a new process to covert dac into prodac. The new process costs 4,000 and yields 1,700 gallons of prodac for every 2,000 galions of dac. Prodac sells for $5 per galon. What is Autry's proft from refining one batch of dactylyte ir both dac and tyl are sold at the split- t nalat A 7,000 $6,000 SIR000 O 2,000 O O O O
Transcribed Image Text:Markus, Inc. produces a specialzed machine part used in forkts. For last year's operations, the following data were gathered: Units produced: 55,000 Direct labor Actual variable overhead: $135,000 Markus employs a standard costing system. During the year, a variable overhead rate of $5.00 was used. The labor standard requires 0.50 hours per unit produced. The variable overhnad snenten and efficency variances are, respectively 29,000 hours $9.00 O sa.000 u and 00u. O Nare of the O M00 U ard s0.000 S10,000 Fad s7500 u. Os0,000 Fand 7.00 Autry Company manufactures veterinary products. One joint process involves refining a chemical (dactylyte) into two chemicais - dac and tyl. One batch of 5,000 gallors of dactylyte can be converted to 2,000 galions of dac and 3,000 galons of tyl at a total joint processing cust of $12,000. At the spit-off point, dac can be sold for $ per galun and tyl can be sold for $4 per gallon. Autry has just leamed of a new process to covert dac into prodac. The new process costs 4,000 and yields 1,700 gallons of prodac for every 2,000 galions of dac. Prodac sells for $5 per galon. What is Autry's proft from refining one batch of dactylyte ir both dac and tyl are sold at the split- t nalat A 7,000 $6,000 SIR000 O 2,000 O O O O
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