The direct materials price variance.

Question

Want to see the full answer?

Answer 1

Question

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

(2)

To determine

To compute:

The direct labor rate variance.

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 2

Question

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

(2)

To determine

To compute:

The direct labor rate variance.

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

(2)

To determine

To compute:

The direct labor rate variance.

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

(2)

To determine

To compute:

The direct labor rate variance.

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

(2)

To determine

To compute:

The direct labor rate variance.

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Answer 6

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

Answer 7

Chapter 21, Problem 12E

(1)

To determine

To compute:

The direct materials price variance.

Answer 8

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

Answer 9

To determine

To compute:

The direct materials quantity variance.

Calculate the direct materials quantity variance as shown below.

$\begin{matrix} Direct materials quantity variance = [\begin{matrix} (Actual quantity - Standard quantity) \\ \times Standard price \end{matrix}] \\ = (92, 000 - 90, 000) \times $ 3 \\ = $ 6, 000 \end{matrix}$

Therefore, the direct materials quantity variance is $6,000, which is more than the standard quantity. So, it is unfavorable.

Answer 10

(2)

To determine

To compute:

The direct labor rate variance.

Answer 11

(2)

To determine

To compute:

The direct labor rate variance.

Answer 12

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Answer 13

To determine

To compute:

The direct labor efficiency variance.

Calculate the direct labor efficiency variance as shown below.

$\begin{matrix} Direct labor efficiency variance = [\begin{matrix} (Actual hours - Standard hours) \\ \times Standard price \end{matrix}] \\ = (37, 600 - 36, 000) \times $ 6 \\ = $ 9, 600 \end{matrix}$

Therefore, the direct labor efficiency variance is $9,600, which is more than the standard quantity. So, it is unfavorable.

Answer 14

Expert Solution & Answer

Answer 15

Expert Solution & Answer

Answer 16

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 17

Ch. 21 - Prob. 1MCQ Ch. 21 - Prob. 2MCQ Ch. 21 - Prob. 3MCQ Ch. 21 - A Company’s standard for a unit of its single...Ch. 21 - Prob. 5MCQ Ch. 21 - Prob. 1DQ Ch. 21 - Prob. 2DQ Ch. 21 - Prob. 3DQ Ch. 21 - Prob. 4DQ Ch. 21 - Prob. 5DQ

The direct materials price variance.

Concept explainers

Videos

To compute:

The direct materials price variance.

To compute:

The direct labor rate variance.

Want to see the full answer?

Chapter 21 Solutions

The direct materials price variance.

Concept explainers

Videos

To compute: The direct materials price variance.

To compute: The direct labor rate variance.

Want to see the full answer?

Chapter 21 Solutions

To compute:

The direct materials price variance.

To compute:

The direct labor rate variance.