Levine Inc., which produces a single product, has prepared thefollowing standard cost sheet for one unit of the product.
Direct materials (6 pounds at $3.20 per pound)$19.20
Direct labor (1 hours at $12.00 per hour)$12.00
During the month of April, the company manufactures 340 unitsand incurs the following actual costs.
Direct materials purchased and used (2,500 pounds)$8,250
Direct labor (360 hours) $4,248
Compute the total, price, and quantity variances for materialsand labor.
Total materials variance $ U or F
Materials price variance $ U or F
'Materials quantity variance $ U or F
Total labor variance $ U or F
Labor price variance $ U or F
Labor quantity variance $ U or F
Levine Inc., which produces a single product, has prepared thefollowing standard cost sheet for one unit of the product.
Direct materials (6 pounds at $3.20 per pound)$19.20
Direct labor (1 hours at $12.00 per hour)$12.00
During the month of April, the company manufactures 340 unitsand incurs the following actual costs.
Direct materials purchased and used (2,500 pounds)$8,250
Direct labor (360 hours) $4,248
Compute the total, price, and quantity variances for materialsand labor.
Total materials variance $ U or F
Materials price variance $ U or F
'Materials quantity variance $ U or F
Total labor variance $ U or F
Labor price variance $ U or F
Labor quantity variance $ U or F
Related questions
| Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below: |
| Standard Quantity or Hours | Standard Price or Rate | Standard Cost | |||||
| Direct materials | 4.6 | pounds | $ | 2.50 | per pound | $ | 11.50 |
| Direct labor | 0.2 | hours | $ | 12.00 | per hour | $ | 2.40 |
| | |||||||
| During the most recent month, the following activity was recorded: |
| a. | Twenty thousand pounds of material were purchased at a cost of $2.35 per pound. |
| b. | All of the material purchased was used to produce 4,000 units of Zoom. |
| c. | 750 hours of direct labor time were recorded at a total labor cost of $10,425. |
| Required: |
| 1. | Compute the materials price and quantity variances for the month. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)
2.Compute the labor rate and efficiency variances for the month. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)
|
topaz company makes one product and has set the followingstandards for materials and labor:
| direct materials | direct labor | |
| standard quantity or hours per unit | ? pounds | 2.5 hours |
| standard price or rate | ? per pound | $9.00 per hour |
| standard cost per unit | ? | $22.50 |
during the past month, the company purchased 6,000 pounds ofdirect materials at a cost of $16,500. all of this material wasused in the production of 1,400 units of product. direct labor costtotaled $28,500 for the month. the following variances have beencomputed:
| materials quantity variance | $1,200 U |
| total materials spending variance | $300 F |
| labor efficiency variance | $4,500 F |
for direct labor:
a. compute the actual direct labor cost per hour for themonth
b. compute the labor rate variance
