Holland Company is a garden products wholesale firm. In December, Holland Company expects to sell 84,000 bags of vegetable fertilizer at an average price of $8.75 per bag. Actual results are 85,000 bags sold at an average price of $8.50 per bag. REQUIRED: 1. Calculate the sales price variance for December. 2. Calculate the sales volume variance for December. 3. Calculate the overall sales variance for December. Explain why it is favorable or unfavorable. What if December sales were actually 83,500 bags? How would that affect the sales price variance? The sales volume variance? The overall sales variance?

Q: A company manufactures t-shirts. In January, the budgeted direct labor hours are 1,960, and the…

A: Solution: Budgeted price per T-shirt = $84,000 / 4200 = $20 Per T-shirt Actual price per T-shirt =…

Q: 1. Calculate the overall sales variance for December

A: Sales Variance = Actual Sales - Budgeted Sales Actual Sales = Actual Units x Actual Price = 58600…

Q: Pearl City Jewelry produced 1,530 rings during March. The standard cost of each ounce of gold used…

A: Material price variance is the difference between the standard price and the actual price paid for…

Q: Carad Co. is an electronics company which makes two types of televisions – plasma screen TVs and LCD…

A: Solution Formula  Sales price variance =(Actual price - standard price )*actual volume. Sales volume…

Q: Xion Co. budgets a selling price of $80 per unit, variable costs of $35 per unit, and total fixed…

A: SOLUTION- FLEXIBLE BUDGET-  IT IS ALSO CALLED VARIABLE BUDGET IS FINANCIAL PLAN OF ESTIMATED REVENUE…

Q: Sunland Family Instruments makes cellos. During the past year, the company made 6,610 cellos even…

A: Standard labor rate = actual labor rate - 0.50 = 20 - 0.50 = $19.50 per hour

Q: MCD Corp. spent a total of 810,000 actual variable cost and 290,000 and cost for the month of May.…

A: Spending variance = $60000 U Volume variance = $260000 U

Q: A company developed the following per-unit standards for its product: 2 pounds of direct materials…

A: Direct material price variance: It refers to a difference between the actual price that is paid by…

Q: Blank Slate Inc produces two types of tablet computers: a basic version and a high-end version.…

A: Under standard costing system, standards are fixed and the actual performance is compared with such…

Q: Robeson Company estimates it will produce and sell 3,000 units next month. Data on costs follows:…

A: Direct materials Price variance = (SP - AP)*AQ = ($9 - $9.25)*1500  = $375 U

Q: Sales Price Variance, Sales Volume Variance, Overall Sales Variance Saginaw Company is a garden…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: Munoz Educational Services had budgeted its training service charge at $69 per hour. The company…

A: Formula: Sales volume variance = ( Actual sales - Budgeted sales ) x Budgeted rate

Q: Campbell Industries has gathered the following information about the actual sales revenues and…

A: Performance report shows the variations in the budgeted and actual result of the company. This also…

Q: Below are the monthly sales forcast and actual monthly sales for Company. Company has hired you to…

A: Sales variance is the difference between the actual sales and budgeted sales of an entity. Whereas…

Q: Deems Company’s budgeted fixed factory overhead cost is P50,000 per month plus a variable factory…

A: Budgeted factory overhead = Variable factory overhead + Fixed factory overhead = (18000×P4) +…

Q: Pratte Boat Wash's cost formula for its cleaning equipment and supplies is $2,640 per month plus $47…

A: An activity variance would seem to be the gap between a revenue or expenditure unit within a…

Q: In December, Sam Antari, president of Antari Inc., received the following information from Denise…

A: GIVEN   n December, Sam Antari, president of Antari Inc., received the following information from…

Q: Washington WaterWorks manufactures snorkel gear. During the past month, Washington purchased 4,000…

A: Direct Material Price Variance: Direct material price variance in the difference between the…

Q: Last year, the retailer's weekly variance of demand was 500 units. The variance of orders was 600,…

A: calculation of above requirement are as follows

Q: Deems Company’s budgeted fixed factory overhead cost is P50,000 per month plus a variable factory…

A: SOLUTION- WORKING NOTE- TOTAL BUDGET OVERHEAD = FIXED BUDGET OVERHEAD +(VARIABLE FACTORY OVERHEAD…

Q: The management accountant of a business is calculating the monthly variances to review and control…

A: Sales volume profit variance is the variance between budgeted units sold and actual units sold with…

Q: The following data were collected by Bemidji Co. for the month of June: Static budget data: Sales…

A: Actual revenue=15000×$45=$675,000

Q: The standard cost card for a product indicates that one unit of the product requires 8 kilograms of…

A: Material quantity variance is the variance between the standard material estimated and the actual…

Q: ABC Industries uses a cost system that carries direct materials inventory at a standard cost. The…

A: Direct Material price variance = (Actual price per pound - Standard price per pound)*Actual quantity…

Q: Deems Company's budgeted fixed factory overhead cost is P50,000 per month plus a variable factory…

A: Formula: Applied factory overhead = Fixed factory overhead + Standard direct labor + Favorable…

Q: Deems Company's budgeted fixed factory overhead cost is P50,000 per month plus a variable factory…

A: Formula: Applied factory overhead = Budgeted fixed factory overhead + standard direct labor cost +…

Q: Hirons Air uses two measures of activity, flights and passengers, in the cost formulas in its…

A:

Q: For the stamping department of a manufacturing firm, the standard cost for direct labor is $15 per…

A: A labor variation occurs when the actual cost of a labor activity differs from the predicted amount…

Q: The cost accountant for Blue Pharmaceuticals has informed you that the company's materials quantity…

A: Variances mean the amount by which something changes or a difference between actual and estimated…

Q: In September, Larson Inc. sold 42,000 units of its only product for $255,000 and incurred a total…

A: actual sales revenue is $255,000 actual total cost incurred is $236,300 Net Operating Income =…

Q: Manlow Company makes a cologne called Allure. The standard cost for one bottle of Allure is as…

A: 1. Total material variance = Total standard material cost - Total actual material cost =…

Q: Janco Industries Flexible Budget Performance Report: Sales and Operating Expenses For the Month…

A:

Q: Mia Wiz sells computers. During May, it sold 400 computers at a $900 per unit price. The fixed…

A: The variance is the difference between the actual data and standard output of the production.

Q: Farad, Inc., specializes in selling used trucks. During the month, Farad sold 52 trucks at an…

A:

Q: Deems Company’s budgeted fixed factory overhead cost is P50,000 per month plus a variable factory…

A: In two way variance Controllable variance=[Variable absorbed budgeted+Fixed budgeted]-Actual Total…

Q: Deems Company's budgeted fixed factory overhead costs are $50,000 per month plus a variable factory…

A: Formula: Applied factory overhead = Fixed factory overhead + Standard direct labor + Favorable…

Q: Young Inc. produces plastic bottles. Production of 16-ounce bottles has a standard unitquantity of…

A: Variance refers to the difference of budgeted and actual figures for items of revenues and expense.

Q: Young Inc. produces plastic bottles. Production of 16-ounce bottles has a standard unit quantity of…

A: Formulas used: Materials Price Variance = (SP-AP) *AQ Materials Quantity Variance = (SQ-AQ) *SP

Q: The production cost for a waterproof phone case is $9 per unit and fixed costs are $27,000 per…

A: Standard cost = Total fixed costs + No. of units produced  x Variable cost per unit = 27000 + 5000*9…

Q: Bandar Industries manufàctures sporting equipment. During the quarter ending June 30, the company…

A: Material price variance = (Actual price per pound - Standard price per pound)*Actual quantity…

Q: During December, 6,000 pounds of raw materials were purchased at a cost of $16 per pound. If there…

A: Actual cost incurred = 6,000 pounds x $16 = $96,000   Standard cost = Actual cost - Unfavorable…

Q: White Mountain Sled Company manufactures children's snow sleds. The company's performance report for…

A: Formulas for sales price and sales volume variance Sales price variance = AQ * ( ASP - SSP) Sales…

Q: Adams Company’s standard labor cost of producing one unit of Product DD is 4.00 hours at the rate of…

A: (a) Compute direct labor variance.

Q: Steinberg Company had the following direct materials costs for the manufacturing of product T in…

A: The variance is the difference between the actual data and standard output of the production.

Q: Kennedy Inc. has the following data for its operation in August:             Increase in direct…

A: Calculation of direct material usage variance are as follows

Q: Prepare a comprehensive performance report for March. Assume that the static budget for March was…

A: A flexible budget is a budget that can change upon the change in the quantity or activity changes.…

Q: Complete the following table, showing the direct labor variance relationships for August for Sole…

A: A budget variance is a periodic measure used by governments, corporations, or individuals to…

Q: During June, Fraser Company's material purchases amounted to 5,100 pounds at a price of $8.25 per…

A: Variances are the differences between the standard and actual costs of direct material, direct labor…

Q: Sunshine Company has the following direct labor standard for its Sunny Sunglasses. 1.2 standard…

A: Standard data: Hour = SH 1.2 * 2000 = 2400 hours Rate = SR = $10 per hour Cost = SC = 10 * 2400 =…