During June, Danby Company's material purchases amounted to 8,100 pounds at a price of $8.00 per pound. Actual costs Incurred in the production of 1,600 units were as follows: Direct labor: $ 135,975 ($18.50 per hour) Direct material: $ 39,200 ($8.00 per pound) The standards for one unit of Danby Company's product are as follows: Direct Labor: Quantity, 4 hours per unit Rate, $18.40 per hour Direct Material: Quantity, 3 pounds per unit Price, $7.78 per pound EX 10-27 (Algo) Diagramming Direct-Material and Direct-Labor Variances (LO 10-3) Required: All in the amounts in the tables below. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Fill in the amounts in the tables below. Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).). Round "Actual Price" and "Standard Price" to 2 decimal places. Direct-Labor Rate and Efficiency Variances Actual Labor Cost Projected Labor Cost Standard Labor Cost Actual Hours x Actual Rate Actual Hours x Standard Rate Standard Hours x Standard Rate hours used × ol per hour hours used 0 X per hour hours allowed per hour S

During June, Danby Company's material purchases amounted to 8,100 pounds at a price of $8.00 per pound. Actual costs Incurred in the production of 1,600 units were as follows: Direct labor: $ 135,975 ($18.50 per hour) Direct material: $ 39,200 ($8.00 per pound) The standards for one unit of Danby Company's product are as follows: Direct Labor: Quantity, 4 hours per unit Rate, $18.40 per hour Direct Material: Quantity, 3 pounds per unit Price, $7.78 per pound EX 10-27 (Algo) Diagramming Direct-Material and Direct-Labor Variances (LO 10-3) Required: All in the amounts in the tables below. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Fill in the amounts in the tables below. Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).). Round "Actual Price" and "Standard Price" to 2 decimal places. Direct-Labor Rate and Efficiency Variances Actual Labor Cost Projected Labor Cost Standard Labor Cost Actual Hours x Actual Rate Actual Hours x Standard Rate Standard Hours x Standard Rate hours used × ol per hour hours used 0 X per hour hours allowed per hour S

Name: None Required InformationEX 10-26, 27 (Algo) Use the following informa
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Description: None Required InformationEX 10-26, 27 (Algo) Use the following information for the Exercises below.During June, Danby Company's material purchases amounted to 8,100 pounds at a price of $8.00 per pound. Actual costsIncurred in the production of 1,600

Cornerstones of Cost Management (Cornerstones Series)

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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 33P: Business Specialty, Inc., manufactures two staplers: small and regular. The standard quantities of...

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Concept explainers

Process Costing

Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure. 

Job Costing

Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.

ABC Costing

Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.

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Required Information
EX 10-26, 27 (Algo) Use the following information for the Exercises below.
During June, Danby Company's material purchases amounted to 8,100 pounds at a price of $8.00 per pound. Actual costs
Incurred in the production of 1,600 units were as follows:
Direct labor:
Direct material:
$ 135,975 ($18.50 per hour)
$ 39,200 ($8.00 per pound)
The standards for one unit of Danby Company's product are as follows:
Direct Labor:
Quantity, 4 hours per unit
Rate, $18.40 per hour
Direct Material:
Quantity, 3 pounds per unit
Price, $7.78 per pound
EX 10-27 (Algo) Diagramming Direct-Material and Direct-Labor Variances (LO 10-3)
Required:
Fill in the amounts in the tables below.
Complete this question by entering your answers in the tabs below.
Required 1
Required 2 Required 3
Fill in the amounts in the tables below.
Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).). Round "Actual Price" and
"Standard Price" to 2 decimal places.
Direct-Labor Rate and Efficiency Variances
Actual Labor Cost
Projected Labor Cost
Standard Labor Cost
Actual Hours
×
Actual Rate
Actual Hours
x
Standard Rate
Standard Hours
x
Standard Rate
×
×
hours used
per hour
hours used
per hour
hours allowed
$
0
Direct-labor rate variance
$
0
$
0
Direct-labor efficiency variance
Direct-labor variance
< Required 2
Required 3 >
per hour

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