Reference no: EM131294076
Lane Company manufactures a single product that requires a great deal of hand labor. Overhead cost is applied on the basis of standard direct labor-hours. Variable manufacturing overhead should be $5.80 per standard direct labor-hour and fixed manufacturing overhead should be $3,087,000 per year.
The company’s product requires 4 pounds of material that has a standard cost of $12.50 per pound and 1.5 hours of direct labor time that has a standard rate of $13.90 per hour.
The company planned to operate at a denominator activity level of 315,000 direct labor-hours and to produce 210,000 units of product during the most recent year. Actual activity and costs for the year were as follows:
Number of units produced 252,000
Actual direct labor-hours worked 409,500
Actual variable manufacturing overhead cost incurred $ 1,351,350
Actual fixed manufacturing overhead cost incurred $ 3,276,000
Required:
1. Compute the predetermined overhead rate for the year. Break the rate down into variable and fixed elements. (Round your answers to 2 decimal places.)
Predetermined Overhead Rate = $15.60 per DLH
Variable Rate = $5.80 per DLH
FIxed Rate = $9.80 per DLH
3a. Compute the standard direct labor-hours allowed for the year’s production.
3b. Complete the following Manufacturing Overhead T-account for the year:
4. Determine the reason for the underapplied or overapplied overhead from (3) above by computing the variable overhead rate and efficiency variances and the fixed overhead budget and volume variances.(Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)
Show how universal this theme is by relating the isolation
: Discuss if there was a time in your life when you, like the author of the Metamorphosis, Franz Kafka felt no more significant than a dung beetle.
|
Determine the work required to compress
: Determine the work required to compress 15.0 kg/min of superheated steam in an uninsulated, reversible compressor from 0.150 MPa, 600.°C to 1.50 MPa, 500.°C in a steady state, steady flow process.
|
Calculate the power required to drive the compressor
: Neglecting any kinetic or potential energy effects, calculate the power required to drive the compressor and the rate of availability destruction by the compressor.
|
Describe a motivational policy-action
: Thinking of either a school or job example, describe a motivational policy/action that was used with students/workers. What theory seems to best explain the policy/action? Explain how the policy/action is effective in motivating students/employee..
|
Standard direct labor-hours allowed for years production
: Lane Company manufactures a single product that requires a great deal of hand labor. Overhead cost is applied on the basis of standard direct labor-hours. Compute the predetermined overhead rate for the year. Break the rate down into variable and fix..
|
Explain how ethics-morals and values interrelate
: 1300 EST:Compare and contrast ethics, morals, and values.Explain how ethics, morals, and values interrelate.Why is ethics essential to the chemical dependency counselor?What internal and external factors motivate chemical dependency counselors to beh..
|
Calculate the entropy production rate of the compressor
: Calculate the power required to drive the compressor and the entropy production rate of the compressor and the entrance and exit specific flow availabilities.
|
Discusses gender issues in business
: Based on your research, present an article that discusses gender issues in business. Analyze the key points of the article and make suggestions as to areas that need improvement.
|
Subject-trends current problems air trans
: What do you think is the most important challenge to the industry? Is it a new challenge or one that has plagued the industry for decades? Support your response.
|