From the following data, calculate labor variances : The budgeted labor force for producing product A is : 20 semi workers @ 75 paise per hour for 50 hours 10 skilled workers @ Rs. 1.25 per hour for 50 hours The actual labor force employed for producing A is : 22 semi skilled workers @ 80 paise per hour for 50 hours 8 skilled workers @ Rs. 1.20 per hour for 50 hours

From the following data, calculate labor variances : The budgeted labor force for producing product A is : 20 semi workers @ 75 paise per hour for 50 hours 10 skilled workers @ Rs. 1.25 per hour for 50 hours The actual labor force employed for producing A is : 22 semi skilled workers @ 80 paise per hour for 50 hours 8 skilled workers @ Rs. 1.20 per hour for 50 hours

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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What is the amount of the Factory OH Volume Variance, given the following info: Actual production = 5,000 units Actual Costs = $202,500.00 for variable FOH + $60,000.00 for fixed FOH Budgeted Costs = $250,000 (standard hours for 5,000 units produced of 25,000 hours * standard FOH rate of $10.00) The standard OH rate = $10.00 per DL hour ($8.00 for variable FOH and $2.00 for fixed FOH) based on 100% capacity of 30,000 DL hours Group of answer choices $12,500.00 favorable $12,500.00 unfavorable $10,000.00 favorable $10,000.00 unfavorable
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