PRESENT YOUR ANSWER AS: 10 FAVORABLE OR 10 UNFAVORABLE.Linis Company produces a commercial cleaning compoundknown as Zide. The direct materials and direct labor standardsfor one unit of Zide are as follows:StandardStandardStandardQtyPriceCostDirect4.6 Ibs.P2.50/lb.P11.50materialsDirect labor0.2 hr.P35/hr.7.00During the most recent month, the following activity wasrecorded:[a] Twenty thousand pounds of material were purchased at acost of P2.35 per pound.[b] All of the materials purchased was used to produce 4,000units of Zide.[c] 750 hours of direct labor time were recorded at a total laborcost of P30,375.Compute for the direct labor efficiency variance. Indicatewhether favorable or unfavorable.

Direct labor efficiency variance is variance based on standard labor hours allowed for actual…

Direct 4.6 lbs. P2.50/lb. P11.50 materials Direct labor 0.2 hr. P35/hr. 7.00 ng the most recent month, the following activity rded: wenty thousand pounds of material were purchased a ost of P2.35 per pound. All of the materials purchased was used to produce 4, nits of Zide. 50 hours of direct labor time were recorded at a total la ost of P30,375.

Direct 4.6 lbs. P2.50/lb. P11.50 materials Direct labor 0.2 hr. P35/hr. 7.00 ng the most recent month, the following activity rded: wenty thousand pounds of material were purchased a ost of P2.35 per pound. All of the materials purchased was used to produce 4, nits of Zide. 50 hours of direct labor time were recorded at a total la ost of P30,375.

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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Just trying to figure out the standard hours!
Answer numbers 4-6.