Manufacturing Overhead Budget Assignment

Bluebell Manufacturing bases its manufacturing overhead budget on budgeted direct labor-hours. The direct labor budget indicates that 1,512 direct labor-hours will be required in March. The variable overhead rate is $8.9 per direct labor-hour, The company's budgeted fixed manufacturing overhead is $17,907.1 per month which includes depreciation of $2,600. All other fixed manufacturing overhead costs represent current cash flows. The company recomputes its predetermined overhead rate every month. The predetermined overhead rate for March should be Select one: ca. $20.74 b. $3.06 c. $13,460.76 d. $748,855.09 Kennedy Corporation makes a product with the following standard costs:

Standard Quantity or Standard Price or Standard Cost per Hours Rate Unit 8.2 pounds $7.00 per pound $57.40 Direct materials Direct labor 0.4 hours $20.00 per hour $8.00 Variable 0.4 hours $2.00 per hour $0.80 overhead The company budgeted for production of 2,400 units in June, but actual production was 2,500 units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce this output. The company purchased 19,000 pounds of the direct material at $7.50 per pound. The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80 per hour. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchase variance is computed when the materials are purchased. The materials price variance for June is: Select one: O a. $9,500.00 O b. $9,925.00 c. $20,357.14 O d. $21,267.86. .

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