University:
York University
Course:
SB/ACTG 2020 | Management Accounting Concepts
Academic year:

2024
Views:

49

Pages:

1
Author:

Niklas

topic 8: chpt 10 (mco, secé B&c) cost verience difference between school coat of product with the budgeted or standard cast management by exception managerstow Deect Material many vatan managers will give protestances that impact on the iny success factors of the compory or may affect the Competitiveness of the company in the long run. process of following up on orly significant vomanon direct maternal price ac RO (RP-SP) direct maternal quarmly variance. SP (AO-SO) Direct Labor 5 Cost standards for one unit of product no. C77: Direct material 3 pounds at $2.50 per pound Dimet labor 5 hours st $7.50 per hour $7.50 37.50 Actual renulte: Units produced 7,800 urits Dircet material purchased 26,000 pounds at $2.70 $70.200 Direct material usod 23,100 pounds at $2.70 62.370 Direct labor 40,100 lours at 57.30 292,730 Assumie daat the company compalo vakances at de erliest pour in time. 1 Direct material quantity varience SP (AQ-50) 25038.100-(9.900 Direct material price vence AD CAP-SP) 3R(AH-3H) direct labor efficiency variance 26,000 (240-250) $53004 3 Dance laber rate variance: AH (AR-IR) 40,100(-30-750) Direct laber efficiency varience SK (HD) 5040,100-19.30052] 86.2504 direct labor rate vernance AH (AR-SR) Variable, ovtmtá variable overhead spending varianca NH (AVR-SV vanable overhead efficiency venence SVR (AH-SH) Aand arhead vannas fand overhead badger variance actual fred overhead budgeted sometid fued overhead vouane vormance budgeted fed overhead applied fored overhead Drandvartages of tondor Cushing budgeted foh planned activity (hrs) in order to maximise the use of standard casting and pront shery, non tontonis must be dertleped frequency foous the tse much on cost and efficiency whers in cortsin manufachting environm Dhad become less significare focus for much on cat mention whers in certain cirtumatonces the comperveno product may have to be considered from nunca factoring tosite performance, the inducation is not specific crough to enable the performance etteive inte matenals may be due to operations pongi Provertages of the Costinger Substandard of που provide teowthe way for comparing achan cast to the standard cast compingt it ervas managers to apply management by caption whalesting of the voranues if used in performansion if can motivate empityte is beber than tandand cony in product cashing Selling Standards Analysis of huatonical data Task ondyse Perfect Standard Practical standard Significance of cost variances Size of vanances fecuring vomances honda