(Variance analysis with unknowns) ATTENTION Products manufactures a neon lamp sign with the following standard conversion costs:
|
Direct labor (4 hours @ $12 per hour) |
$ 48 |
|
Factory overhead (10,000 DLH expected capacity) |
|
|
Variable (4 hours @ $16 per hour) |
64 |
|
Fixed (4 hours @ $8 per hour) |
32 |
|
Total unit conversion cost |
$144 |
The following data are given for December, when 8,000 standard labor hours were used:
|
Labor rate variance |
$ 4,500 U |
|
Labor efficiency variance |
12,000 U |
|
Actual variable overhead |
153,000 |
|
Actual fixed overhead |
78,000 |
Calculate the answers for the following unknowns:
a. Total applied factory overhead
b. Volume variance
c. Variable overhead spending variance
d. Variable overhead efficiency variance
e. Total actual overhead
f. Number of units manufactured