Harmon Household Products, Inc., manufactures a number of consumer items - 17437

Solution Posted by
yousafbhutta

yousafbhutta

Rating : (28)C
Solution Detail
Price: $1.00
  • From: Business,
  • Posted on: Tue 28 May, 2013
  • Request id: None
  • Purchased: 0 time(s)
  • Average Rating: No rating
Request Description

 

Harmon Household Products, Inc., manufactures a number of consumer items for general household use. One of these products, a chopping board, requires an expensive hardwood. During a recent month, the company manufactured 4,000 chopping boards using 11,000 board feet of hardwood. The hardwood cost the company $18,700.

 

     The company’s standards for one chopping board are 2.5 board feet of hardwood, at a cost of $1.80 per board foot.

 

Required:

1a.

According to the standards, what cost for wood should have been incurred to make 4,000 chopping blocks? (Omit the "$" sign in your response.)

1b.

How much greater or less is this than the cost that was incurred? (Input the amount as a positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

2.

Break down the difference computed in (1) above into a materials price variance and a materials quantity variance.(Input all amounts as positive values. Do not round intermediate calculations. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

 

Solution Description

 

Please give m

Attachments
Ch 10 Q2.docx
Ch 10 Q2.docx