owing information applies to the questions displayed below.) A manufactured product has the following information for June. Direct materials Direct labor Overhead Units manufactured Standard Quantity and Cost 6 pounds @ $8 per pound 3 DLH @ $17 per DLH 3 DLH @ $12 per DLH Actual Results 43,100 pounds @ $8.10 per pound 21,000 hours @ $17.50 per hour 7,100 units $ 261,100 Compute the (1) direct materials price variance and (2) direct materials quantity variance. (Indicate the effect of each variance by electing favorable, unfavorable, or no variance. Round "Cost per unit" answers to 2 decimal places.)
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
![[The following information applies to the questions displayed below.]
A manufactured product has the following information for June.
Direct materials
Direct labor
Overhead
Units manufactured
Standard Quantity and Cost
6 pounds @ $8 per pound
3 DLH @ $17 per DLH
3 DLH @ $12 per DLH
Actual Results
43,100 pounds @ $8.10 per pound
21,000 hours @ $17.50 per hour
$ 261,100
7,100 units
Compute the (1) direct materials price variance and (2) direct materials quantity variance. (Indicate the effect of each variance by
selecting favorable, unfavorable, or no variance. Round "Cost per unit" answers to 2 decimal places.)
AQ Actual Quantity
Standard Quantity
SQ
AP Actual Price
SP=Standard Price
Actual Cost
$
0
$
0
0
$
0
Standard Cost](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F19a4ac56-36d7-4808-a803-2dfe72120de9%2Fd7485ff1-d6a9-45c8-8207-087819b32515%2F62neryt_processed.png&w=3840&q=75)
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