The standard materials cost to produce 1 unit of Product Z is 6 pounds of material at a standard price of $42 per pound. In manufacturing 4,000 units, 25,000 pounds of material were used at a cost of $43 per pound. Calculate the total direct materials cost variance.

The standard materials cost to produce 1 unit of Product Z is 6 pounds of material at a standard price of $42 per pound. In manufacturing 4,000 units, 25,000 pounds of material were used at a cost of $43 per pound. Calculate the total direct materials cost variance.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter10: Standard Costing And Variance Analysis

Section: Chapter Questions

Problem 58E: At the beginning of the year, Lopez Company had the following standard cost sheet for one of its...

See similar textbooks

Related questions

Q: Which of the following is NOT a period cost? a. Depreciation of factory maintenance equipment. b.…

A: This is because depreciation of factory maintenance equipment is considered a product cost, as it is…

Q: General Accounting

A: Step 1: Variable costs per unit Variable costs per unit = Direct materials + Direct labor + Variable…

Q: Which statement is true for this general accounting question?

A: Option a: This option is incorrect because the incremental cost is $5 per unit. Option b: This…

Q: Financial Account

A: To calculate the variable overhead efficiency variance, use the formula: Variable Overhead…

Q: Calculate river valley manufacturing acid test ratio?

A: Step 1: Definition of Acid-Test RatioThe Acid-Test Ratio, also known as the Quick Ratio, measures a…

Q: help

A: Explanation of Net Income: Net income represents the company's total earnings or profit after…

Q: What is the total dollar return on these financial accounting question?

A: Step 1:First calculate the amount of dividend income: Dividend income = Number of shares * Dividend…

Q: What is the cost of equity on these financial accounting question?

A: Cost of Equity (re)=Risk-Free Rate+β×(Market Risk Premium)Given:Risk-Free Rate (rf) = 5.2% or…

Q: Give true solution for this general accounting question

A: To determine the factory overhead allocated per unit for fabric chairs using the single plant-wide…

Q: help general accounting tutor

A: To compute the receivables turnover ratio, we use the formula: Receivables Turnover Ratio=Average…

Q: What is the amount of income or loss from acceptance of the offer??

A: Step 1: Define Differential CostDifferential costs involve two alternative choice costs. It has the…

Q: General accounting question please solve

Q: Discuss the accounting treatment for business combinations.

A: Business combinations are defined as those transactions whereby entities amalgamate to form a single…

Q: General accounting question please solve

A: Step 1: Definition of Job CostingJob Costing is a method of tracking and allocating costs to…

Q: general accounting

A: Step 1: Calculate the expected EPS for next yearExpected EPS for next year = $2.75 Step 2: Calculate…

Q: Please provide answer this general accounting question

A: 1. Calculate the Predetermined Overhead Rate:Predetermined Overhead Rate = Estimated Total…

Q: kindly help me with accounting question

A: Step 1: Definition of Net Realizable Value (NRV)The Net Realizable Value (NRV) of accounts…

Q: A company's prime costs total $5,300,000 and its conversion costs total $9,300,000. If direct…

A: Concept of Prime Costs:Prime costs refer to the direct costs of manufacturing a product, including…

Q: 1.4.67 general accounting

A: Step 1:The selling Price per unit can be calculated by putting the values of fixed cost and other…

Q: Tiago's Electronics uses a standard costing system

A: Concept of Standard Costing SystemThe standard costing system is a managerial accounting method used…

Q: General Accounting

A: Step 1: Define Predetermined Overhead RateThe predetermined overhead rate is a rate calculated at…

Q: General Accounting

A: Explanation: In the given case, it is stated that the liabilities increased by $85,000 and the…

Q: Step by step answer

A: Explanation of Variable Costs:Variable costs are the costs that change directly with the level of…

Q: Provide correct answer general Accounting question

A: Step 1: Define Profitability Index (PI)The Profitability Index (PI) is a financial metric that…

Q: General Accounting

A: To determine Dynamic Technologies' net income for the year, we use the formula: Net…

Q: Solve the problem : 100 units? 1000 units? 1 million units?

A: For 100 units1. Total Development Cost: $115,0002. Total Delivery Cost: 100 units * $0.75/unit =…

Q: ? Solve the problem

A: Given that :Break-even point in sales = $840000Variable expenses = 65% or 0.65 of sales We know…

Q: get correct answer accounting question

A: Step 1: Definition of Current AssetsCurrent assets are assets that a company expects to convert into…

Q: Answer me please

A: Step 1: New variable costs per unit New variable costs per unit = Original variable costs x (100% +…

Q: Financial Accounting Question

A: Given Information:Estimated Total Manufacturing Overhead = $1,200,000Estimated Direct Labor Hours =…

Q: General accounting question

A: Step 1: Define Cost AccountingCost accounting is a component of managerial accounting that focuses…

Q: Hii expert please provide correct answer general Accounting question

A: Atlas Manufacturing uses a predetermined overhead rate based on machine hours to apply manufacturing…

Q: What is the total amount of your capital gains on this investment?

A: To calculate the total capital gains, we need to consider both the stock price appreciation and the…

Q: Accounting problem 23.3

A: Step 1: Calculate Beginning Owner's EquityBeginning Owner's Equity = Beginning Total Assets -…

Q: I want answer

A: Debt-equity ratio = Total debt / Total equity1 0.49 = Total debt / Total equityTotal debt = 0.49 *…

Q: Account solution want

A: Step 1:First, calculate the standard hours required for actual production: Standard hours for actual…

Q: If your actual price is more than your standard price for raw materials your price variance will be:…

A: The correct answer is:C. Unfavorable. Explanation:The raw materials price variance measures the…

Q: Financial Accounting

A: The **coefficient of variation (CV)** is a measure of risk per unit of return. It is calculated as…

Q: Hi expert please give me answer general accounting question

A: Given:Current Market Price (P0) = $40Recently Paid Dividend (D0) = $3Dividend Growth Rate (g) =…

Q: Punch Manufacturing Corporation owns 80 percent of the common shares of Short Retail Stores. The…

A: First, we need to calculate the consolidated net income. This is done by adding the net income of…

Q: I am waiting for answer

A: Explanation of Net Income: Net income represents the company's total earnings or profit after all…

Q: Which of the following is a characteristic of preferred stock? i) Always has voting rights ii)…

A: Preferred stock is a hybrid class of equity, having some characteristics of both debt and equity.…

Q: Hello tutor please provide correct answer general Accounting question

A: Step 1: Define Current LiabilitiesCurrent liabilities are those obligations of an organization that…

Q: A computer consulting company uses job costing system and has a pre-determined overhead rate of $24…

A: Step 1: Direct labor cost Direct labor cost = Number of hours x Direct labor rateDirect labor cost =…

Q: Answer this below Question

A: The correct answer is:(C) Separated if meeting specific criteria Embedded derivatives in hybrid…

Q: Provide correct answer general accounting question

A: The gross margin ratio is a profitability metric that shows the percentage of sales revenue…

Q: Kindly help me with accounting questions

A: Step 1: Define Variable CostingUnder variable costing, the fixed manufacturing overhead cost is…

Q: provide accounting answer

A: To Calculate Long-Term Debt:We use the accounting equation: Total Assets=Total Liabilities+Total…

Q: What is horizon industries opereting leverage? General accounting

A: Step 1: Definition of Operating LeverageThe Operating Leverage measures how sensitive a company's…

Q: Quick answer of this accounting questions

A: The total Direct Materials Cost Variance is calculated as the difference between the Actual Cost of…

Question

100%

Do fast answer of this accounting questions

The standard materials cost to produce 1 unit of Product Z is 6 pounds of
material at a standard price of $42 per pound. In manufacturing 4,000 units,
25,000 pounds of material were used at a cost of $43 per pound. Calculate
the total direct materials cost variance.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

The standard materials cost to produce 1 unit of Product R is 9 pounds of material at a standard price of $53 per pound. In manufacturing 5,000 units, 44,000 pounds of material were used at a cost of $54 per pound. What is the total direct materials cost variance?
The standard materials cost to produce 1 unit of Product R is 6 pounds of material at a standard price of $44 per pound. In manufacturing 6,600 units, 37,500 pounds of material were used at a cost of $46 per pound. What is the direct materials quantity variance?
The standard costs and actual costs for direct materials for the manufacture of 2,800 actual units of product are as follows: Standard Costs Direct materials (per completed unit) 1,040 kilograms @$8.99 Actual Costs Direct materials 2,800 kilograms @ $8.10 Round your final answer to the nearest dollar. The direct materials price variance is
The standard material cost to produce 1 unit of product r is 6 pounds of material at a standar price of $50 per pound . In manufacturing 8000 units 47000 pounds of material we're used at a cost of $51 per pound . What is the direct material price variance
The standard costs and actual costs for direct materials for the manufacture of 2500 actual units of product are:
Please provide
It is estimated that a product requires 50 units of material at the rate of $3 per unit. The actual consumption of material for manufacturing the same product came to 60 units at the rate of $2.9 per unit. Calculate 1. Material cost variance 2. Material price variance 3. Material usage variance
The standard materials cost to produce 1 unit of Product R is 6 pounds of material at a standard price of $44 per pound. In manufacturing 6,000 units, 35,000 pounds of material were used at a cost of $45 per pound. Required: What is the total direct materials cost variance? a) $9,000 unfavorable. b) $45,000 favorable. c) $45,000 unfavorable. d) $9,000 favorable. e) $36,000 unfavorable.
The standard costs and actual costs for direct materials for the manufacture of 1,870 actual units of product are as follows: Standard Costs Direct materials 1,870 kilograms at $8.60 Actual Costs Direct materials 2,000 kilograms at $8.05 The direct materials quantity variance is
Please give answer of this question
Assume the following: The actual price per pound is $2.25. The standard quantity of pounds allowed per unit of finished goods is 4 pounds. The actual quantity of materials purchased and used in production is 50,000 pounds. The materials price variance is $12,500 U. The materials quantity variance is $4,000 F. What is the total number of units produced (finished goods) during the period?
The actual cost of direct materials is $55.75 per pound. The standard cost per pound is $60.50. During the current period, 6,100 pounds were used in production. The standard quantity for actual units produced is 5,700 pounds. How much is the direct materials price variance? A. $27,075 unfavorable B. $28,975 unfavorable C. $28,975 favorable D. $27,075 favorable