MC Qu. 10-65 Assume that...Cost standards for one unit of product no. C77:Direct materialDirect labor3 pounds at $2.70 per pound7 hours at $7.50 per hourActual results:Units produced5,900 unitsDirect material purchasedDirect material used27,000 pounds at $2.9017,400 pounds at $2.9041,500 hours at $7.30Direct laborAssume that the company computes variances at the earliest point in time.The standard hours allowed for the work performed are:Multiple ChoiceO 40,250.41,450.41,300.41,200.None of the answers is correct.O$8.1052.50$ 78,30050,460302,950

Standard hours allowed for actual output Standard hours allowed is the number of hours of production…

Answered: The standard hours allowed for the work…

Business

Accounting

The standard hours allowed for the work performed are:

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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Concept explainers

Overheads

In cost accounting, overhead refers to those expenses which occur during the operating of a business. Overhead includes the fixed, variable, or semi-variable which is not directly involved with a company product or service. It is very important to analyze overhead expense as it helps the company in determining how much a company must charge for its products and services so that they can generate profit. Overhead expenses depend upon the nature of the business operations.

Question

MC Qu. 10-65 Assume that...
Cost standards for one unit of product no. C77:
Direct material
Direct labor
3 pounds at $2.70 per pound
7 hours at $7.50 per hour
Actual results:
Units produced
5,900 units
Direct material purchased
Direct material used
27,000 pounds at $2.90
17,400 pounds at $2.90
41,500 hours at $7.30
Direct labor
Assume that the company computes variances at the earliest point in time.
The standard hours allowed for the work performed are:
Multiple Choice
O 40,250.
41,450.
41,300.
41,200.
None of the answers is correct.
O
$
8.10
52.50
$ 78,300
50,460
302,950

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