A company's product requires 3 direct labor hours per unit at a standard rate of $40 per direct labor hour. During the period, the company made 8,010 units, using 23,825 direct labor hours at an actual cost of $42 per direct labor hour. Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor variance. Indicate whether each variance is favorable or unfavorable. AH = Actual Hours SH= Standard Hours AR Actual Rate SR Standard Rate Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Actual Cost $ 0 $ 0 Standard Cost

A company's product requires 3 direct labor hours per unit at a standard rate of $40 per direct labor hour. During the period, the company made 8,010 units, using 23,825 direct labor hours at an actual cost of $42 per direct labor hour. Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor variance. Indicate whether each variance is favorable or unfavorable. AH = Actual Hours SH= Standard Hours AR Actual Rate SR Standard Rate Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Actual Cost $ 0 $ 0 Standard Cost

Name: A company's product requires 3 direct labor hours per unit at a stand
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: A company's product requires 3 direct labor hours per unit at a standard rate of $40 per direct labor hour. During the period, thecompany made 8,010 units, using 23,825 direct labor hours at an actual cost of $42 per direct labor hour, Compute the d

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Lewis Company's standard labor cost of producing one unit of Product DD is 3.20 hours at the rate of $12.50 per hour. During August, 42,600 hours of labor are incurred at a cost of $12.65 per hour to produce 13,200 units of Product DD. (a) Compute the total labor variance. Total labor variance (b) Compute the labor price and quantity variances. Labor price variance Labor quantity variance (c) $ Labor price variance $ Compute the labor price and quantity variances, assuming the standard is 3.50 hours of direct labor at $12.85 per hour. $ > Labor quantity variance $ <
Preparing a standard cost income statement Use the following information to prepare a standard cost income statement for Whitmer Company for 2021. Cost of Goods Sold at standard $ 367,000 Direct Labor Efficiency Variance $ 18,000 F Sales Revenue at standard 550,000 Variable Overhead Efficiency Variance 3,400 U Direct Materials Cost Variance 8,000 U Fixed Overhead Volume Variance 12,000 F Direct Materials Efficiency Variance 2,800 U Selling and Administrative Expenses 77,000 Direct Labor Cost Variance 42,000 U Variable Overhead Cost Variance 700 F Fixed Overhead Cost Variance 1,900 F
The following labor standards have been established for a particular product Standard labor hours per unit of output Standard labor rate 4.3 hours $ 20.10 per hour The following data pertain to operations concerning the product for the last month: Actual hours worked Actual total labor cost Actual output 6,900 hours $ 139,380 1,500 units Required: a. What is the labor rate variance for the month? b. What is the labor efficiency variance for the month? Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (Le zero variance). Input all amounts as positive values. a. Labor rate variance. b. Labor efficiency variance
.
Give answer for the question
Provide solution for this question
Meman
Vermont Inc. has provided the following data concerning one of the products in its standard cost system. Standard Quantity or Hours per Unit of Output 0.20 hours Inputs Direct labor The company has reported the following actual results for the product for May: Actual output Actual direct labor-hours Actual direct labor rate. The labor rate variance for the month is closest to: $2,576 U O $2,816 U O $2,816 F Standard Price or Rate $21.70 per hour O $2,576 F 8,800 units 1,610 hours S 23.30 per hour
The following labor standards have been established for a particular product: Standard labor-hours per unit of output Standard labor rate 5.0 hours $19.85 per hour The following data pertain to operations concerning the product for the last month: Actual hours worked 7.300 hours Actual total labor cost $148.190 Actual output. 1.400 units What is the labor efficiency variance for the month? Select one: a. $9,240 F b. $9,240 U C. $5,955 U d. $6,090 U
Assume the following: • The variable portion of the predetermined overhead rate is $1.50 per direct labor-hour. • The standard labor-hours allowed per unit of finished goods is 3 hours. • The variable overhead efficiency variance is $1,500 F. • The company produced 15,000 units of finished goods during the period. What is the actual quantity of direct labor-hours worked during the period? Multiple Choice о о O O 44,000 hours 44,500 hours 43,500 hours 43,000 hours
Please solve a and b
Starts Inc. produces a product that require 3.50 standard hours per unit at a standard hourly rate of $17.00 per hour. Production of 7,500 units required 27,550 hours at an hourly rate of $16.00 per hour. What is the direct labor (a) rate variance, (b) time variance, and (c) total cost variance? (d) Perform the journal entries related to the variances.