MANAGERIAL ACCOUNTING I NEED FAST ANSWER THANKS Babylon Furniture manufactures sofa sets and seats. The company uses a standard cost accounting system. In June 2022, the actual production amount is 20,000 seats. The following standard and actual cost data applied to the month of June when the normal capacity was 18,000 direct labor hours. All materials purchased were used in production. Cost Element / Standard (per unit) / Actual (per unit) Direct materials / 5 meters at $6.90 per meter / 5,3 meters at $7 per meter Direct labor / 1.0 hours at $11.40 per hour / 0,9 hours at $11 per hour a.) Compute total, price and quantity variances for direct materials. b.) Compute total, rate and efficiency variances for direct la
MANAGERIAL ACCOUNTING I NEED FAST ANSWER THANKS Babylon Furniture manufactures sofa sets and seats. The company uses a standard cost accounting system. In June 2022, the actual production amount is 20,000 seats. The following standard and actual cost data applied to the month of June when the normal capacity was 18,000 direct labor hours. All materials purchased were used in production. Cost Element / Standard (per unit) / Actual (per unit) Direct materials / 5 meters at $6.90 per meter / 5,3 meters at $7 per meter Direct labor / 1.0 hours at $11.40 per hour / 0,9 hours at $11 per hour a.) Compute total, price and quantity variances for direct materials. b.) Compute total, rate and efficiency variances for direct la
Chapter1: Financial Statements And Business Decisions
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Babylon Furniture manufactures sofa sets and seats. The company uses a
Transcribed Image Text:3.) Babylon Furniture manufactures sofa sets and seats. The company uses a standard cost accounting
system. In June 2022, the actual production amount is 20,000 seats. The following standard and actual cost
data applied to the month of June when the normal capacity was 18,000 direct labor hours. All materials
purchased were used in production.
Cost Element
Direct materials
Direct labor
Standard (per unit)
5 meters at $6.90 per meter
1.0 hours at $11.40 per hour
Actual (per unit)
5,3 meters at $7 per meter
0,9 hours at $11 per hour
a.) Compute total, price and quantity variances for direct materials.
b.) Compute total, rate and efficiency variances for direct labor.
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