Question 2.3 Rose Apothecary manufactures individual shampoos for hotel/motel clientele. The fixed manufacturing overhead costs for 2021 will total $576,000. The company uses good units finished for fixed overhead allocation and anticipates 300,000 units of production. Good units finished average 92 percent of total units produced. During January, 20,000 units were produced. Actual fixed overhead cost per good unit averaged $2.82 in January. Required Determine the fixed overhead rate for 2021. Determine the fixed overhead static-budget variance for January. Determine the fixed overhead production-volume variance for January. Determine the fixed overhead rate variance for January.
Question 2.3 Rose Apothecary manufactures individual shampoos for hotel/motel clientele. The fixed manufacturing overhead costs for 2021 will total $576,000. The company uses good units finished for fixed overhead allocation and anticipates 300,000 units of production. Good units finished average 92 percent of total units produced. During January, 20,000 units were produced. Actual fixed overhead cost per good unit averaged $2.82 in January. Required Determine the fixed overhead rate for 2021. Determine the fixed overhead static-budget variance for January. Determine the fixed overhead production-volume variance for January. Determine the fixed overhead rate variance for January.
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter13: Lean Manufacturing And Activity Analysis
Section: Chapter Questions
Problem 13E: Lean accounting Modern Lighting Inc. manufactures lighting fixtures, using lean manufacturing...
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Question 2.3
Rose Apothecary manufactures individual shampoos for hotel/motel clientele. The fixed
Required
- Determine the fixed overhead rate for 2021.
- Determine the fixed overhead static-
budget variance for January. - Determine the fixed overhead production-volume variance for January.
- Determine the fixed overhead rate variance for January.
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