Mirabito Inc

question 341

Essay

Mirabito Inc.has provided the following data concerning one of the products in its standard cost system.Variable manufacturing overhead is applied to products on the basis of direct labor-hours. The company has reported the following actual results for the product for December: Required:
a.Compute the materials price variance for December.
b.Compute the materials quantity variance for December.
c.Compute the labor rate variance for December.
d.Compute the labor efficiency variance for December.
e.Compute the variable overhead rate variance for December.
f.Compute the variable overhead efficiency variance for December.

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Definitions:

Forfeited Shares

Shares that have been cancelled or surrendered because the shareholder failed to meet purchase requirements or payment deadlines.

Calls

Options that give the holder the right, but not the obligation, to buy a stock, bond, commodity, or other instruments at a specified price within a specific time frame.

Reissue

The act of bringing something back into circulation or availability, particularly in the context of financial securities or published materials.

Retained Earnings

The portion of net income that is not distributed to shareholders as dividends but is kept by the company to reinvest in its core business or to pay debt.