Puvo, Incorporated, manufactures a single product in which variable manufacturing overhead is assigned on the basis of standard direct labor-hours. The company uses a standard cost system and has established the following standards for one unit of product Direct materials Direct labor Variable manufacturing overhead Standard Quantity 5.8 pounds 0.5 hours 0.5 hours During March, the following activity was recorded by the company The company produced 2,400 units during the month. . A total of 19,400 pounds of material were purchased at a cost of $13,580 Standard Price or Rate $0.60 per pound $ 33.50 per hour Standard Cost $ 3.48 $16.75 $ 8.50 per hour $ 4.25 . There was no beginning inventory of materials on hand to start the month, at the end of the month, 3,620 pounds of material remained in the warehouse. During March, 1,090 direct labor-hours were worked at a rate of $30.50 per hour • Variable manufacturing overhead costs during March totaled $14,061 The direct materials purchases variance is computed when the materials are purchased. The materials price variance for March is: Multiple Choice
Puvo, Incorporated, manufactures a single product in which variable manufacturing overhead is assigned on the basis of standard direct labor-hours. The company uses a standard cost system and has established the following standards for one unit of product Direct materials Direct labor Variable manufacturing overhead Standard Quantity 5.8 pounds 0.5 hours 0.5 hours During March, the following activity was recorded by the company The company produced 2,400 units during the month. . A total of 19,400 pounds of material were purchased at a cost of $13,580 Standard Price or Rate $0.60 per pound $ 33.50 per hour Standard Cost $ 3.48 $16.75 $ 8.50 per hour $ 4.25 . There was no beginning inventory of materials on hand to start the month, at the end of the month, 3,620 pounds of material remained in the warehouse. During March, 1,090 direct labor-hours were worked at a rate of $30.50 per hour • Variable manufacturing overhead costs during March totaled $14,061 The direct materials purchases variance is computed when the materials are purchased. The materials price variance for March is: Multiple Choice
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter6: Process Cost Accounting—additional Procedures; Accounting For Joint Products And By-products
Section: Chapter Questions
Problem 6E: Foamy Inc. manufactures shaving cream and uses the weighted average cost method. In November,...
Related questions
Question
None
AI-Generated Solution
AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.
Unlock instant AI solutions
Tap the button
to generate a solution
Recommended textbooks for you
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning