A manufactured product has the following information for August: Standard Actual Direct materials 6 lbs. @ $9 per lb. 48,000 lbs. @ $9.30 per lb. Direct labor 2.5 hrs. @$16 per hr. 17,800 hrs. @ $15.60 per hr. Overhead 2.5 hrs. @$14 per hr. $249,200 Units manufactured | 6,800 Compute the direct labor rate variance and the direct labor efficiency variance.

A manufactured product has the following information for August: Standard Actual Direct materials 6 lbs. @ $9 per lb. 48,000 lbs. @ $9.30 per lb. Direct labor 2.5 hrs. @$16 per hr. 17,800 hrs. @ $15.60 per hr. Overhead 2.5 hrs. @$14 per hr. $249,200 Units manufactured | 6,800 Compute the direct labor rate variance and the direct labor efficiency variance.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 1EA: Steeler Towel Company estimates its overhead to be $250,000. It expects to have 100,000 direct labor...

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