Lenni Clothing Co. manufactures clothing in a small manufacturing facility. Manufacturing has 25 employees. Each employee presently provides 40 hours of productive labor per week. Information about a production week is as follows: $12.00 12 min. 5.0 yds. $5.00 $5.10 Standard wage per hr. Standard labor time per unit Standard number of yds, of fabric per unit Standard price per yd. of fabric Actual price per yd. of fabric Actual yds, of fabric used during the week Number of units produced during the week Actual wage per hr. Actual hrs, for the week Required: 26,200 yds 5,220 $11.80 1,000 hrs. a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places, DO Direct materials standard cost per unit Direct labor standard cost per unit Total standard cost per unit b. Determine the price variance, quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number, Price variance Quantity variance Total direct materials cost variance

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter9: Evaluating Variances From Standard Costs
Section: Chapter Questions
Problem 1PB: Direct materials and direct labor variance analysis Lenni Clothing Co. manufactures clothing in a...
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Standard number of yds, of fabric per unit
Standard price per yd. of fabric
Actual price per yd. of fabric
Actual yds, of fabric used during the week
Number of units produced during the week
Actual wage per hr.
Actual hrs. for the week
Required:
5.0 yds.
$5.00
$5.10
26,200 yds.
5,220
$11.80
1,000 hrs.
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
Direct materials standard cost per unit
Direct labor standard cost per unit
Total standard cost per unit
b. Determine the price variance, quantity variance, and tot direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an
unfavorable variance as a positive number.
Price variance
Quantity variance
Total direct materials cost variance
c. Determine the rate variance, time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an
unfavorable variance as a positive number.
Rate variance
Time variance
Total direct labor cost variance
Transcribed Image Text:Standard number of yds, of fabric per unit Standard price per yd. of fabric Actual price per yd. of fabric Actual yds, of fabric used during the week Number of units produced during the week Actual wage per hr. Actual hrs. for the week Required: 5.0 yds. $5.00 $5.10 26,200 yds. 5,220 $11.80 1,000 hrs. a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places. Direct materials standard cost per unit Direct labor standard cost per unit Total standard cost per unit b. Determine the price variance, quantity variance, and tot direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Price variance Quantity variance Total direct materials cost variance c. Determine the rate variance, time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Rate variance Time variance Total direct labor cost variance
Direct Materials and Direct Labor Variance Analysis
Lenni Clothing Co. manufactures clothing in a small manufacturing facility. Manufacturing has 25 employees. Each employee presently provides 40 hours of productive
labor per week. Information about a production week is as follows:
Standard wage per hr.
Standard labor time per unit
Standard number of yds, of fabric per unit
Standard price per yd. of fabric
Actual price per yd. of fabric
Actual yds, of fabric used during the week
Number of units produced during the week
Actual wage per hr.
Actual hrs, for the week.
Required:
$12.00
12 min.
5.0 yds.
$5.00
$5.10
26,200 yds.
5,220
$11.80
1,000 hrs.
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
Direct materials standard cost per unit
Direct labor standard cost per unit
Total standard cost per unit
b. Determine the price variance, quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an
unfavorable variance as a positive number,
Price variance
Quantity variance
OQ
Total direct materials cost variance
Determine the rate variance, time variance and total direct lahor enek variance Entor a favorable scarianen.ac.a.nenatis number eine minue rion and an
Transcribed Image Text:Direct Materials and Direct Labor Variance Analysis Lenni Clothing Co. manufactures clothing in a small manufacturing facility. Manufacturing has 25 employees. Each employee presently provides 40 hours of productive labor per week. Information about a production week is as follows: Standard wage per hr. Standard labor time per unit Standard number of yds, of fabric per unit Standard price per yd. of fabric Actual price per yd. of fabric Actual yds, of fabric used during the week Number of units produced during the week Actual wage per hr. Actual hrs, for the week. Required: $12.00 12 min. 5.0 yds. $5.00 $5.10 26,200 yds. 5,220 $11.80 1,000 hrs. a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places. Direct materials standard cost per unit Direct labor standard cost per unit Total standard cost per unit b. Determine the price variance, quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number, Price variance Quantity variance OQ Total direct materials cost variance Determine the rate variance, time variance and total direct lahor enek variance Entor a favorable scarianen.ac.a.nenatis number eine minue rion and an
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