A company uses the following standard costs to produce a single unit of output. Direct materials Direct labor Manufacturing overhead 7 pounds at $0.80 per pound 0.4 hour at $8.00 per hour 0.4 hour at $5.00 per hour During the latest month, the company purchased and used 67,000 pounds of direct materials at a price of $0.90 per pound to produce 10,000 units of output. Direct labor costs for the month totaled $28,952 based on 3,760 direct labor hours worked. Variable manufacturing overhead costs incurred totaled $17,000 and fixed manufacturing overhead incurred was $10,000. Based on this, information, the direct materials price variance for the month was: Multiple Choice $3,200 unfavorable $4,300 favorable $1,000 favorable $4,300 unfavorable $ 5.60 $ 3.20 $ 2.00 $6,700 unfavorable

A company uses the following standard costs to produce a single unit of output. Direct materials Direct labor Manufacturing overhead 7 pounds at $0.80 per pound 0.4 hour at $8.00 per hour 0.4 hour at $5.00 per hour During the latest month, the company purchased and used 67,000 pounds of direct materials at a price of $0.90 per pound to produce 10,000 units of output. Direct labor costs for the month totaled $28,952 based on 3,760 direct labor hours worked. Variable manufacturing overhead costs incurred totaled $17,000 and fixed manufacturing overhead incurred was $10,000. Based on this, information, the direct materials price variance for the month was: Multiple Choice $3,200 unfavorable $4,300 favorable $1,000 favorable $4,300 unfavorable $ 5.60 $ 3.20 $ 2.00 $6,700 unfavorable

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Description: A company uses the following standard costs to produce a single unit of output.Direct materialsDirect laborManufacturing overhead7 pounds at $0.80 per pound0.4 hour at $8.00 per hour0.4 hour at $5.00 per hourDuring the latest month, the company purc

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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