ADM 2341 Lecture Notes - Lecture 34: Standard Cost Accounting

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lilachippopotamus32

22 Apr 2018

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The amount that should have been paid for the amount of hours that should have been worked (standard hours times standard rate for labour). > the labour quantity variance results from the difference between the actual number of labour hours and the number of hours that should have been worked for the quantity produced. Manufacturing overhead varianc total overhead variance = the difference between the actual overhead costs and overhead costs applied based on standard hours allowed for the amount of goods produced. > to find the total overhead variance in a standard costing system, we determine the overhead costs applied based on total standard hours allowed. > total standard hours allowed = the hours that should have been worked for the units produced. total variable overhead budget variance (tvohbv) shows whether variable overhead costs were effectively controlled. >answers the question of whether xonic effectively used its fixed capacity.

Related Questions

ABC Corporation has a standard costing system in which variable manufacturing overhead is assigned to production on the basis of standard machine-hours. The following data are available for July: â¢ Actual variable manufacturing overhead cost incurred: $31,230 â¢ Actual machine-hours worked: 1,800 hours â¢ Variable overhead rate variance: $4,230 Unfavorable â¢ Total variable overhead spending variance: $6,240 Unfavorable The standard number of machine-hours allowed for July production is: a) 2,722 hours b) 1,700 hours Incorrect c) 1,666 hours d) 1,500 hours

erinjellyfish721

In a four-variance method analyzing factory overhead, thevariable factory overhead efficiency variance measures the A.effect of differences in the actual variable factory overhead rateand the standard variable factory overhead rate. B. differencebetween actual variable factory overhead and budgeted variablefactory overhead. C. difference in the actual hours incurred andstandard hours allowed for a given level of production. D.difference between actual and applied variable factory overhead