Monty Manufacturing builds playground equipment that it sells to elementary schools and municipalities. Monty's management has contracted you to perform a variance analysis on the fixed manufacturing overhead for its line of slides. Monty's cost accounting team informs you that it allocates fixed overhead based on machine hours. This period production was budgeted at 35 slides. Budgeted and actual production data follows: Standard fixed overhead cost per machine hour Standard machine hours per slide Actual production Actual fixed overhead cost $18,425 unfavorable B. $15,975 unfavorable C. $15,975 favorable $5.00 What is the fixed manufacturing overhead volume variance in this period? A. D. $18,425 favorable 9 390 $20,000

Monty Manufacturing builds playground equipment that it sells to elementary schools and municipalities. Monty's management has contracted you to perform a variance analysis on the fixed manufacturing overhead for its line of slides. Monty's cost accounting team informs you that it allocates fixed overhead based on machine hours. This period production was budgeted at 35 slides. Budgeted and actual production data follows: Standard fixed overhead cost per machine hour Standard machine hours per slide Actual production Actual fixed overhead cost $18,425 unfavorable B. $15,975 unfavorable C. $15,975 favorable $5.00 What is the fixed manufacturing overhead volume variance in this period? A. D. $18,425 favorable 9 390 $20,000

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Description: Please do not give solution in image format thanku Monty Manufacturing builds playground equipment that it sells to elementary schools and municipalities. Monty'smanagement has contracted you to perform a variance analysis on the fixed manufacturing

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

Chapter10: Standard Costing And Variance Analysis

Section: Chapter Questions

Problem 58E: At the beginning of the year, Lopez Company had the following standard cost sheet for one of its...

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At the beginning of the year, Lopez Company had the following standard cost sheet for one of its chemical products: Lopez computes its overhead rates using practical volume, which is 80,000 units. The actual results for the year are as follows: (a) Units produced: 79,600; (b) Direct labor: 158,900 hours at 18.10; (c) FOH: 831,000; and (d) VOH: 112,400. Required: 1. Compute the variable overhead spending and efficiency variances. 2. Compute the fixed overhead spending and volume variances.
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