Efficiency variances , Accounting Basics

Jackson Corporation uses a standard cost system, concerned manufacturing overhead on the basis of machine hours. The company's overhead standards per unit are given below.

Variable overhead: 4 hours at $9 per hour.

Fixed overhead: 4 hours at $6* per hour.

Based on planned monthly activity of 120,000 machine hours.

Real data for May were:

Number of units produced: 29,000.

Number of machine hours worked: 125,000.

Variable overhead costs incurred: $1,085,000.

Fixed overhead costs incurred: $755,000.

 

Required:

A. Determine the spending and efficiency variances for variable overhead.

B. Determine the budget and volume variances for fixed overhead.

 

Posted Date: 3/22/2013 6:34:23 AM | Location : United States







Related Discussions:- Efficiency variances , Assignment Help, Ask Question on Efficiency variances , Get Answer, Expert's Help, Efficiency variances Discussions

Write discussion on Efficiency variances
Your posts are moderated
Related Questions
What is the latest change taking place in the accounting world that will make a big difference to the way accountants prepare accounts?

The 31st December 2009 trial balance of Anika Co. reported the following information. Dr. Cr. Allowance for Bad Debts........................... $2,300 During the year 2010 t

procedure followed in government system of accounting in india



The basic functions of a balance sheet are: 1. It provides the financial place of a company on any given date 2. It provides the liquidity picture of the concern. 3. It p

Revenues emerge in the Income Statement credit column of the work sheet. The two revenue accounts in the Income Statement are credit column for Micro Train Company are service reve

Difference between Income Statement and Balance Sheet Difference between the amounts of the columns in Income Statement and Balance Sheet should be the same amount. Words "Net

Q. Traditional body of accounting theory? Presenting the traditional body of theory first as well as the conceptual framework second gives you a sense of the historical develop

State the term- Debits must always equal credits To help understand Temporary Owner's Equity accounts. All transactions which affect owner's equity could be recorded in one