Sharp Company manufactures a product for which the following standards have been set:Direct materialsDirect laborStandardQuantity orHours3 feet? hoursStandard Priceor Rate$5 per foot? per hourStandardCost$ 15?During March, the company purchased direct materials at a cost of $53,730, all of which were used in the production of 2,875 units ofproduct. In addition, 4,700 direct labor-hours were worked on the product during the month. The cost of this labor time was $37,600.The following variances have been computed for the month:Materials quantity varianceLabor spending varianceLabor efficiency varianceRequired:1. For direct materials:$ 1,650 U$ 3,100 U$ 750 Ua. Compute the actual cost per foot of materials for March.b. Compute the price variance and the spending variance.2. For direct labor:a. Compute the standard direct labor rate per hour.b. Compute the standard hours allowed for the month's production.c. Compute the standard hours allowed per unit of product.Complete this question by entering your answers in the tabs below.Req 1AReq 1BReq 22a. For direct labor, compute the standard direct labor rate per hour. (Round your answer to the nearest whole dollar.)2b. For direct labor, compute the standard hours allowed for the month's production. (Do not round your intermediatecalculations. Round your final answer to the nearest whole number.)2c. For direct labor, compute the standard hours allowed per unit of product. (Round your answer to 1 decimal place.)2a. Standard direct labor rate per hour$52b. Standard hours allowed for the month's production4,8802c. Standard hours allowed per unit of product1.6Show less▲

Name: Sharp Company manufactures a product for which the following standard
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Description: Sharp Company manufactures a product for which the following standards have been set:Direct materialsDirect laborStandardQuantity orHours3 feet? hoursStandard Priceor Rate$5 per foot? per hourStandardCost$ 15?During March, the company purchased dire

Cost Variance -The gap between an organization's actual costs and its planned, anticipated, or…

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Sharp Company manufactures a product for which the following standards have been set: Direct materials Direct labor Standard Quantity or Hours 3 feet ? hours Standard Price Standard or Rate Cost $5 per foot ? per hour $ 15 ? During March, the company purchased direct materials at a cost of $53,730, all of which were used in the produ product. In addition, 4,700 direct labor-hours were worked on the product during the month. The cost of this lab The following variances have been computed for the month: Materials quantity variance Labor spending variance Labor efficiency variance Required: . For direct materials: $ 1,650 U $ 3,100 U $ 750 U a. Compute the actual cost per foot of materials for March. b. Compute the price variance and the spending variance.

Sharp Company manufactures a product for which the following standards have been set: Direct materials Direct labor Standard Quantity or Hours 3 feet ? hours Standard Price Standard or Rate Cost $5 per foot ? per hour $ 15 ? During March, the company purchased direct materials at a cost of $53,730, all of which were used in the produ product. In addition, 4,700 direct labor-hours were worked on the product during the month. The cost of this lab The following variances have been computed for the month: Materials quantity variance Labor spending variance Labor efficiency variance Required: . For direct materials: $ 1,650 U $ 3,100 U $ 750 U a. Compute the actual cost per foot of materials for March. b. Compute the price variance and the spending variance.

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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