Actual
Budget
F/U
Sales
Units
8000
7500
Price
$10
Total Sales
95000
$75,000
COGS
45000
37500
-7500
Actual
Flexible
Fixed/Static
Units- 8000
8000
7500
Standard Cost
Materials
qty
price
Labor
hours
rate
Overhead
controllable
uncontrollable
VOH
FOH
AQ
AP
AQ
SP
1000
$10
1000
$9.50
AQ(AP-SP)
Materials Example
AQ
AP
AQ
SP
1800
$21
1800
$20
Made
3500
Stand. Qty
Labor Example
AH
AR
AH
SR
3400
8.30
$
3400
8
$10,000 $9,500
$37,800 $36,000
28,220.00$ 27200
Overhead Example
AQ
AP
AQ
SP
300000
300000
2
$65,000
120000
Var. Amt
Total Fixes
Production in Units
1800
Total Var. Cost
2.50
$
4,500
$
Total Fixed Cost
2.00
$
6,000
$
Total
Things to make a product
Direct Materials
WIP= direct costs
Direct Labor
Factory OH=indirect cost
Factory Overhead
Beg. Inv
Beg WIP Inv
Purchases
Direct Material
Used
Direct Labor
Ending Inve
Factory OH
Ending WIP
Total Overhead
$1,500,000
POHR
Total Estimated Activity
150000
$10
55000
220
$535,000 600000
Favorable
Unfavorable
Raw Materials Inv WIP
1020
Unfavorable
Units produced* Standard quantity
SQ
SP
950
$9.50
SP(AQ-SQ)
SQ
SP
1750
$20
SH
SR
units * stand. Time
28000
8
3500
$9,025
$35,000
224000
Unfavorable
SQ
SP
units produced
60000
240000
2
1 unit
4
ACTUAL
APPLIED
COGM
-800
Unfavorable
480000
Finished Goods
Factory OH
Favorable
