Direct labour cost variance: The standard material cost for vinyl use per table is $7.80 based on 6 square feet of vinyl at a cost of $1.60 per square foot. A production run of 1,000 in January resulted in usage of 6,400 square feet of vinyl at a cost of $1.20 per square foot, a total cost of $7,689. What is the quantity variance resulting from the above production run?

Direct labour cost variance: The standard material cost for vinyl use per table is $7.80 based on 6 square feet of vinyl at a cost of $1.60 per square foot. A production run of 1,000 in January resulted in usage of 6,400 square feet of vinyl at a cost of $1.20 per square foot, a total cost of $7,689. What is the quantity variance resulting from the above production run?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter9: Standard Costing: A Functional-based Control Approach

Section: Chapter Questions

Problem 4CE: Kavallia Company set a standard cost for one item at 328,000; allowable deviation is 14,500. Actual...

See similar textbooks

Similar questions

At the beginning of the year, Lopez Company had the following standard cost sheet for one of its chemical products: Lopez computes its overhead rates using practical volume, which is 80,000 units. The actual results for the year are as follows: (a) Units produced: 79,600; (b) Direct labor: 158,900 hours at 18.10; (c) FOH: 831,000; and (d) VOH: 112,400. Required: 1. Compute the variable overhead spending and efficiency variances. 2. Compute the fixed overhead spending and volume variances.
Direct materials variances Bellingham Company produces a product that requires 2.5 standard pounds per unit. The standard price is 3.75 per pound. If 15,000 units used 36,000 pounds, which were purchased at 4.00 per pound, what is the direct materials (A) price variance, (B) quantity variance, and (C) cost variance?
Ed Co. manufactures two types of O rings, large and small. Both rings use the same material but require different amounts. Standard materials for both are shown. At the beginning of the month, Edve Co. bought 25,000 feet of rubber for $6.875. The company made 3,000 large O rings and 4,000 small O rings. The company used 14,500 feet of rubber. A. What are the direct materials price variance, the direct materials quantity variance, and the total direct materials cost variance? B. If they bought 10,000 connectors costing $310, what would the direct materials price variance be for the connectors? C. If there was an unfavorable direct materials price variance of $125, how much did they pay per toot for the rubber?
Based on the attached image, answer the following question: 1. What is the direct-material price variance? 2. What is the direct-material quantity variance? 3. What is the labor rate variance?
Primary Co. has a standard materials price of $4.00 per pound and a standard direct labor rate of $18.00 per hour. Primary's actual direct materials price was $4.10 per pound and paid direct labor of $17.50 per hour. Assume an actual materials usage of 26,000 pounds and actual labor totaling 8,000 hours. A. Calculate the direct materials price variance. Indicate whether the variance is favorable or unfavorable. B. Calculate the direct labor rate variance. Indicate whether the variance is favorable or unfavorable.
Use this information to answer the question that follow.The following data relate to direct materials costs for February:Materials cost per yard: standard, $1.96; actual, $2.03Standard yards per unit: standard, 4.73 yards; actual, 5.21 yardsUnits of production: 9,100Calculate the direct materials price variance.
The Big Company's expected production volume was 36,000 units at 9,000 hours of labor. The fixed overhead rate is KD 3 per hour at 36,000 units. Actual fixed overhead was KD 26,000 for 32,000 units of production. Which of the following is correct? Select one: a. Cost variance, KD 1,000 U; volume variance, KD 3,000 U. b. Cost variance, KD 1,000 U; volume variance, KD 3,000 F. c. Cost variance, KD 3,000 F; volume variance, KD 2,000 U. d. Cost variance, KD 1,000 F; volume variance, KD 3,000 U.
Upon your review of Shalom Company's standard cost card. You found the following information: Standards: Material Labor Actual: Production Material Labor 5.0 feet per unit @ P4.00 per foot 3.0 hours per unit @ 35.00 per hour 2,800 units produced during the month 14,500 feet used; 15,100 feet purchased @ P3.70 per foot 8,150 direct labor hours @ P36.00 per hour Determine the variances based on the information above. Indicate as favorable or unfavorable. Format should be: 8,000 F or 8,000 UF No need to indicate if the amount is positive or negative. Amounts must be in whole numbers. Example: 88,000 or (88,000) Unit costs be in whole numbers. Example: 88 Format of percentages: 88% Words must be in capital letters. What is the labor rate variance?
Upon your review of Shalom Company's standard cost card. You found the following information: Standards: Material Labor Actual: Production Material Labor 5.0 feet per unit @ P4.00 per foot 3.0 hours per unit @ 35.00 per hour 2,800 units produced during the month 14,500 feet used; 15,100 feet purchased @ P3.70 per foot 8,150 direct labor hours @ P36.00 per hour Determine the variances based on the information above. Indicate as favorable or unfavorable. Format should be: 8,000 F or 8,000 UF No need to indicate if the amount is positive or negative. Amounts must be in whole numbers. Example: 88,000 or (88,000) Unit costs be in whole numbers. Example: 88 Format of percentages: 88% Words must be in capital letters. What is the labor efficiency variance?
Upon your review of Shalom Company's standard cost card. You found the following information: Standards: Material Labor Actual: Production Material Labor 5.0 feet per unit @ P4.00 per foot 3.0 hours per unit @ 35.00 per hour 2,800 units produced during the month 14,500 feet used; 15,100 feet purchased @ P3.70 per foot 8,150 direct labor hours @ P36.00 per hour Determine the variances based on the information above. Indicate as favorable or unfavorable. Format should be: 8,000 F or 8,000 UF No need to indicate if the amount is positive or negative. Amounts must be in whole numbers. Example: 88,000 or (88,000) Unit costs be in whole numbers. Example: 88 Format of percentages: 88% Words must be in capital letters. What is the material price variance?
Upon your review of Shalom Company's standard cost card. You found the following information: Standards: Material Labor Actual: Production Material Labor 5.0 feet per unit @ P4.00 per foot 3.0 hours per unit @ 35.00 per hour 2,800 units produced during the month 14,500 feet used; 15,100 feet purchased @ P3.70 per foot 8,150 direct labor hours @ P36.00 per hour Determine the variances based on the information above. Indicate as favorable or unfavorable. Format should be: 8,000 F or 8,000 UF No need to indicate if the amount is positive or negative. Amounts must be in whole numbers. Example: 88,000 or (88,000) Unit costs be in whole numbers. Example: 88 Format of percentages: 88% Words must be in capital letters. What is the material quantity variance?
Subject: accounting Direct labor variances: Yealink Company produces a product that requires 2 standard direct labor hours per unit at a standard hourly rate of $10 per hour. If 7,500 units used 30,900 hours at an hourly rate of $9.90 per hour, what is the direct labor (A) rate variance, (B) time variance, and (C) cost variance?