Consider the following data collected for Albo's Rentals: Direct Materials Direct Manufacturing Labor Cost incurred: Actual inputs x Actual prices $210,000 $95,000 Actual inputs x standard prices 214,000 88,000 Standard inputs allowed for actual output x standard prices 220,000 85,000 Required: Compute the price and efficiency variances for direct manufacturing labor: Question 11Answer a. Price $7000 U; Efficiency $3000 U b. Price $7000 U; Efficiency $3000 F c. Price $5000 U; Efficiency $5000 U d. Price $7000 F; Efficiency $3000 U
Consider the following data collected for Albo's Rentals: Direct Materials Direct Manufacturing Labor Cost incurred: Actual inputs x Actual prices $210,000 $95,000 Actual inputs x standard prices 214,000 88,000 Standard inputs allowed for actual output x standard prices 220,000 85,000 Required: Compute the price and efficiency variances for direct manufacturing labor: Question 11Answer a. Price $7000 U; Efficiency $3000 U b. Price $7000 U; Efficiency $3000 F c. Price $5000 U; Efficiency $5000 U d. Price $7000 F; Efficiency $3000 U
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter7: Variable Costing For Management
analysis
Section: Chapter Questions
Problem 4BE
Related questions
Question
Consider the following data collected for Albo's Rentals:
Direct Materials Direct
Cost incurred:
Actual inputs x Actual prices $210,000 $95,000
Actual inputs x standard prices 214,000 88,000
Standard inputs allowed for
actual output x standard prices 220,000 85,000
Required: Compute the price and efficiency variances for direct manufacturing labor:
Question 11Answer
a.
Price $7000 U; Efficiency $3000 U
b.
Price $7000 U; Efficiency $3000 F
c.
Price $5000 U; Efficiency $5000 U
d.
Price $7000 F; Efficiency $3000 U
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