What is the Standard Yield of the group ? What is the labor Idle time variance for Unskilled labour ? What is the labor Idle time variance for Semi skilled labour ? A gang of usually consists of 20 skilled workers, 15 semi-skilledworkers and 10 unskilled with a standard rate of RO. 5, RO. 3 and RO. 2respectively. The group is expected to produce 1200 units of a productin a 30 hour week.First week of August, the group consist of 15 skilled workers, 12 semi-skilled workers and 10 unskilled workers produced only 1000 units. Theactual hourly rate paid for the group was RO. 4, RO. 3, RO. 2respectively. Due to an industrial accident, the group could not work for3 hours in the same week. You are required to prepare all the laborvariances and answer the following questions.

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Description: What is the Standard Yield of the group ? What is the labor Idle time variance for Unskilled labour ? What is the labor Idle time variance for Semi skilled labour ? A gang of usually consists of 20 skilled workers, 15 semi-skilledworkers and 10 unski

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3 hours in the same week. You are required to prepare all the labor variances and answer the following questions.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter3: Accounting For Labor

Section: Chapter Questions

Problem 3E

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Concept explainers

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.

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What is the Standard Yield of the group ?

What is the labor Idle time variance for Unskilled labour ?

What is the labor Idle time variance for Semi skilled labour ?

A gang of usually consists of 20 skilled workers, 15 semi-skilled
workers and 10 unskilled with a standard rate of RO. 5, RO. 3 and RO. 2
respectively. The group is expected to produce 1200 units of a product
in a 30 hour week.
First week of August, the group consist of 15 skilled workers, 12 semi-
skilled workers and 10 unskilled workers produced only 1000 units. The
actual hourly rate paid for the group was RO. 4, RO. 3, RO. 2
respectively. Due to an industrial accident, the group could not work for
3 hours in the same week. You are required to prepare all the labor
variances and answer the following questions.

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