Material and Labor VariancesThe following actual and standard cost data for direct material and direct labor relate to the production of 2,000 units of a product:   Actual Costs   Standard Costs Direct material   19,500 lbs. @ $5.30   20,000 lbs. @ $5.10 Direct labor   31,000 hrs. @ $8.40   30,000 hrs. @ $8.70   Determine the following variances: Do not use negative signs with any of your answers. Next to each variance answer, select either "F" for Favorable or "U" for Unfavorable. Materials Variances Actual cost: Answer   Split cost: Answer   Standard cost: Answer   a. Materials price Answer Answer b. Materials efficiency Answer Answer     Labor Variances Actual cost: Answer   Split cost: Answer   Standard cost: Answer   c. Labor rate Answer Answer d. Labor efficieny Answer Answer

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter8: Standard Costs And Variances
Section: Chapter Questions
Problem 13PA: Recompute the variances from the second Acme Inc. exercise using $0.0725 as the standard cost of the...
icon
Related questions
Question

Material and Labor Variances
The following actual and standard cost data for direct material and direct labor relate to the production of 2,000 units of a product:

  Actual Costs   Standard Costs
Direct material   19,500 lbs. @ $5.30   20,000 lbs. @ $5.10
Direct labor   31,000 hrs. @ $8.40   30,000 hrs. @ $8.70

 

Determine the following variances:

Do not use negative signs with any of your answers. Next to each variance answer, select either "F" for Favorable or "U" for Unfavorable.

Materials Variances
Actual cost: Answer  
Split cost: Answer  
Standard cost: Answer  
a. Materials price Answer Answer
b. Materials efficiency Answer Answer

 

 
Labor Variances
Actual cost: Answer  
Split cost: Answer  
Standard cost: Answer  
c. Labor rate Answer Answer
d. Labor efficieny Answer Answer
 
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Financial & Managerial Accounting
Financial & Managerial Accounting
Accounting
ISBN:
9781337119207
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Excel Applications for Accounting Principles
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub