Part IVGaurav's Restaurant is analyzing an increase in its labour cost. Youhave been given the following information on the average hourlyrate for its front-of-house positions and an excerpt from itsbudget and actual results for the month.ServerBusserHostPositionRequiredServerBusserHostPositionActualTotal Cost$11,9632,3201,615Average Rate$16.00$15.00$18.00Hours Worked72516095BudgetTotal Cost$12,000$2,250$1,620Hours Worked75015090a) Calculate the cost variance for each position.b) Calculate the quantity variance for each position.c) Calculate the total variance for each position.

Name: Part IVGaurav's Restaurant is analyzing an increase in its labour cos
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Part IVGaurav's Restaurant is analyzing an increase in its labour cost. Youhave been given the following information on the average hourlyrate for its front-of-house positions and an excerpt from itsbudget and actual results for the month.ServerBuss

1. Labour Cost Variance : ( as per question ; Total variance )> Finds the difference between…

Answered: Required a) Calculate the cost variance…

Business

Accounting

Required a) Calculate the cost variance for each position. b) Calculate the quantity variance for each position. c) Calculate the total variance for each position.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Here are the questions from my study material. Question included in the attached image. _________________ What were the price and quantity variances for direct material, respectively? What were the rate and efficiency variances for direct labour, respectively?
Wetherbee Tech Services (WTS) is a chain of computer maintenance technicians for households and small businesses. The following data are available for last year's services: • WTS recorded 120,900 tech calls last year. It had budgeted 126,800 calls, averaging 90 minutes each. • Standard variable labor and support costs per tech call were as follows: Direct IT specialist services: 90 minutes at $54 per hour Variable support staff, supplies, and overhead: 30 minutes at $24 per hour Fixed overhead costs: Annual budget $4,141,800 • Fixed overhead is applied at the rate of $36.00 per call. . Actual tech service call costs: Direct IT specialist services: 120,900 calls averaging 84 minutes at $56.00 per hour Variable support staff, supplies, and overhead: averaging 40 minutes per call at $22.50 per hour x 120,900 calls Fixed overhead Required: a. Prepare a cost variance analysis for each variable cost for last year. b. Prepare a fixed overhead cost variance analysis. Complete this question by…
The Flexible-Budget Variance is the sum of a. The static-budget variance and the sales-volume variance b. The sales-volume variance and the efficiency variance c. The price variance and the efficiency variance d. The static-budget variance and the price variance
1.What is the labor rate variance ( indicate the effect of each variance by selecting "f" for favorable, U for unfavorable, and None for no effect and round your final answer to the nearest whole number) 2. What is the variable overhead efficiency variance ? ( indicate the effect of each variance by selecting "f" for favorable, U for unfavorable, and None for no effect and round your final answer to the nearest whole number) 3. what is the variable overhead rate variance?
The following direct materials and direct labor data pertain to the operations of Sandhill Company for the month of August. Costs Actual labor rate Actual materials price Standard labor rate Standard materials price $13 $120 $12.50 $124 Quantities per hour per ton per hour per ton Actual hours incurred and used Actual quantity of materials purchased and used Standard hours used Standard quantity of materials used 4,900 hours 2,000 tons 4,960 hours 1,990 tons
How can we determine the mean and variance of the NPW on the basis of the three NPW estimates?
Which of the following is the correct formula for the direct materials quantity variance? O a. (Actual Quantity - Actual Price) - (Standard Quantity Standard Price) O b. (Actual Quantity- Standard Quantity) * Actual Price O c. (Actual Price - Standard Price) × Actual Quantity O d. (Actual Quantity - Standard Quantity) x Standard Price
List the fixed overhead variances, and briefly describe each.
in preparing variance analysis for both variable overhead and fixed overhead costs, both include spending variances
There are three input materials A, B and C in a process. The overall material mix variance and the mix variance of A are favourable. State and conclude about the nature of mix variances of B and C? Why?