Business, 10.04.2020 20:35 elissiashontelbrown
Lloyd Publications established the following standard price and costs for a hardcover picture book that the company produces.
Standard price and variable costs
Sales price $ 37.00
Materials cost 8.30
Labor cost 3.70
Overhead cost 6.30
Selling, general, and administrative costs 6.90
Planned fixed costs
Manufacturing overhead $ 133,000
Selling, general, and administrative 47,000
Assume that Lloyd actually produced and sold 36,000 books. The actual sales price and costs incurred follow.
Actual price and variable costs
Sales price $ 36.00
Materials cost 8.50
Labor cost 3.60
Overhead cost 6.35
Selling, general, and administrative costs 6.70
Actual fixed costs
Manufacturing overhead $ 118,000
Selling, general, and administrative 53,000
Required:
a. & b.
Determine the flexible budget variances and also indicate the effect of each variance by selecting favorable (F) or unfavorable (U). (Select "None" if there is no effect (i. e., zero variance).)
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Lloyd Publications established the following standard price and costs for a hardcover picture book t...
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