for the current year: Direct materials (2 kg of plastic at $5 per kilogram) $10.00 Direct labour (2 hours at $12 per hour) 24.00 Variable manufacturing overhead Fixed manufacturing overhead Total standard cost per unit Actual costs for producing 2,750 units were as follows: Direct materials used 6,050 kg Direct materials purchased (6,500 kg) $31,200 Direct labour (6,875 hours) $68,750 Variable manufacturing costs $33,000 Fixed manufacturing costs $18,000 1. Calculate the material price variance for materials purchased. 2. Calculate the material quantity variance. 3. Calculate the labour price variance. 4. Calculate the labour quantity variance. 12.00 6.00 $52.00

for the current year: Direct materials (2 kg of plastic at $5 per kilogram) $10.00 Direct labour (2 hours at $12 per hour) 24.00 Variable manufacturing overhead Fixed manufacturing overhead Total standard cost per unit Actual costs for producing 2,750 units were as follows: Direct materials used 6,050 kg Direct materials purchased (6,500 kg) $31,200 Direct labour (6,875 hours) $68,750 Variable manufacturing costs $33,000 Fixed manufacturing costs $18,000 1. Calculate the material price variance for materials purchased. 2. Calculate the material quantity variance. 3. Calculate the labour price variance. 4. Calculate the labour quantity variance. 12.00 6.00 $52.00

Name: EXERCISE NO. 2Jay Levitt Company budgeted the following cost standard
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Description: EXERCISE NO. 2Jay Levitt Company budgeted the following cost standardsfor the current year:Direct materials (2 kg of plastic at $5 per kilogram) $10.00Direct labour (2 hours at $12 per hour)24.0012.006.00$52.00Variable manufacturing overheadFixed ma

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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