**The Russell Company Standard Cost Data**The Russell Company provides the following standard cost data per unit of product:- **Direct Material:** 3 gallons at $3 per gallon = $9.00- **Direct Labor:** 2 hours at $13 per hour = $26.00During the period, the company produced and sold 24,000 units, incurring the following actual costs:- **Direct Material:** 75,000 gallons at $2.90 per gallon- **Direct Labor:** 48,500 hours at $12.75 per hour**The direct labor usage variance was:**- Multiple Choice: - $6,500 unfavorable. - $6,375 unfavorable.This section includes a cost variance analysis with a focus on direct labor usage, requiring a calculation of how actual costs compare to standard costs.

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Description: **The Russell Company Standard Cost Data**The Russell Company provides the following standard cost data per unit of product:- **Direct Material:** 3 gallons at $3 per gallon = $9.00- **Direct Labor:** 2 hours at $13 per hour = $26.00During the perio

Standard costing means where standard is set for various cost element and actual cost is then…

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The Russell Company provides the following standard cost data per unit of product: Direct material (3 gallons @ $3 per gallon) Direct labor (2 hours @ $13 per hour) During the period, the company produced and sold 24,000 units, incurring the following costs: 75,000 gallons @ 48,500 hours @ $ 2.90 per gallon $12.75 per hour Direct material Direct labor The direct labor usage variance was: Multiple Choice $6,500 unfavorable. $9.00 $26.00

The Russell Company provides the following standard cost data per unit of product: Direct material (3 gallons @ $3 per gallon) Direct labor (2 hours @ $13 per hour) During the period, the company produced and sold 24,000 units, incurring the following costs: 75,000 gallons @ 48,500 hours @ $ 2.90 per gallon $12.75 per hour Direct material Direct labor The direct labor usage variance was: Multiple Choice $6,500 unfavorable. $9.00 $26.00

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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