New Jersey Valve Company manufactured 8,200 units during January of a control valve used by milk processors in its Camden plant. Records indicated the following: Direct labor Direct material purchased Direct material used 41,900 hr. at $14.50 per hr. 33,000 lb. at $3.00 per lb. 23,600 lb. The control valve has the following standard prime costs: Direct material Direct labor 3 lb. at $2.90 per lb. 5 hr. at $14.90 per hr. $ 8.70 74.50 Standard prime cost per unit $83.20 Required: 1. Prepare a schedule of standard production costs for January, based on actual production of 8,200 units. 2. For the month of January, compute the following variances.

New Jersey Valve Company manufactured 8,200 units during January of a control valve used by milk processors in its Camden plant. Records indicated the following: Direct labor Direct material purchased Direct material used 41,900 hr. at $14.50 per hr. 33,000 lb. at $3.00 per lb. 23,600 lb. The control valve has the following standard prime costs: Direct material Direct labor 3 lb. at $2.90 per lb. 5 hr. at $14.90 per hr. $ 8.70 74.50 Standard prime cost per unit $83.20 Required: 1. Prepare a schedule of standard production costs for January, based on actual production of 8,200 units. 2. For the month of January, compute the following variances.

Name: New Jersey Valve Company manufactured 8,200 units during January of a
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Description: New Jersey Valve Company manufactured 8,200 units during January of a control valve used by milk processors in its Camden plant.Records indicated the following:Direct laborDirect material purchased41,900 hr. at $14.50 per hr.33,000 lb. at $3.00 per

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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