Question

Question 1 is Part A,B,c, and D A. Oliver Enterprises has collected the following data for...

Question 1 is Part A,B,c, and D

A.

Oliver Enterprises has collected the following data for one of its​ products:

Direct materials standard

​(7

pounds per unit​ @

$0.56​/lb.)

$3.92

per finished good
Direct materials flexible budget

variance−unfavorable

$12,000

Actual Direct Materials Used​ (AQU)

35,000

pounds

Actual finished goods produced

21,000

units

What is the total actual cost of the direct materials​ used?

A.$137,200

B.$82,320

C.$94,320

D.$70,320

B. The following information describes a​ company's usage of direct labor in a recent​ period:

Actual direct labor hours used

$36,000

Actual rate per hour

$24.00

Standard rate per hour

$12.50

Standard hours for units produced

33,500

How much is the direct labor rate​ variance?

A.$414,000 favorable

B. $385,250 unfavorable

C. $414,000 unfavorable

D. $385,250 favorable

C. The actual cost of direct labor per hour is $15.75. Two and one half standard direct labor hours are allowed per unit of finished goods. During the current​ period, 3,500 units were produced using 8,450 direct labor hours. The direct labor efficiency variance is $2,600 favorable. Calculate the standard direct labor rate per hour.

A. $0.74

B.$8.67

C. $15.75

D. $3.37

D.

Speaker City designs and manufactures high−end home theater speakers. Speaker City uses a standard variable overhead rate of 4.5 hours per unit at a cost of $12.00 per hour. Data for the month of June shows that Speaker City produce 600 units and recorded actual variable overhead costs of $46,000.

What is the total variable overhead variance for the month of​June?

A. $13,600 unfavorable

B. $38,800 favorable

C. $13,600 favorable

D. $38,800 unfavorable

Homework Answers

Answer #1

A.

Direct material flexible budget variance = Actual results - Flexible budget

-$12,000 = Actual results - $82,320 (21,000*$3.92)

Actual results = $82,320-12,000 = $70,320

The total actual cost of direct material used is $70,320

Hence option D is correct.

B.

Direct labor rate variance = Actual hours*Standard rate - Actual hours*Actual rate

Direct labor rate variance = 36,000*$12.50 - 36,000*$24

Direct labor rate variance = $450,000 - 864,000 = $414,000 Unfavorable

Hence option C is correct.

C.

Direct labor efficiency variance = (Standard hours - Actual hours) * Standard rate

$2,600 = (3,500*2.5 - 8,450) * Standard rate

$2,600 = 300 * Standard rate

Standard rate = $2,600 / 300 = $8.67 per hour

Hence option B is correct.

D.

Total variable overhead variance = Actual variable overhead cost - (Actual output * Standard rate per output)

Total variable overhead variance = $46,000 - (600*4.5*$12)

Total variable overhead variance = $46,000 - $32,400= $13,600 Unfavorable

Hence option A is correct.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
16. Georgia, Inc. has collected the following data on one of its products. The direct materials...
16. Georgia, Inc. has collected the following data on one of its products. The direct materials price variance is: Direct materials standard (3 lbs @ $1/lb) $3 per finished unit Total direct materials cost variance—unfavorable $26,250 Actual direct materials used 140,000 lbs. Actual finished units produced 35,000 units Multiple Choice $8,750 favorable. $8,750 unfavorable. $30,750 favorable. $35,000 unfavorable. Incorrect $26,250 unfavorable. 19, Georgia, Inc. has collected the following data on one of its products. The direct materials quantity variance is:...
Use this information for Stringer Company to answer the question that follow. The following data are...
Use this information for Stringer Company to answer the question that follow. The following data are given for Stringer Company: Budgeted production 959 units Actual production   1,063 units Materials:     Standard price per ounce $1.9     Standard ounces per completed unit 10     Actual ounces purchased and used in production 10,949     Actual price paid for materials $22,445 Labor:     Standard hourly labor rate $14.96 per hour     Standard hours allowed per completed unit 4.6     Actual labor hours worked 5,474.45     Actual total labor costs $83,485 Overhead:...
Q1: The standard costs and actual costs for direct materials for the manufacture of 2,600 actual...
Q1: The standard costs and actual costs for direct materials for the manufacture of 2,600 actual units of product are Standard Costs Direct materials (per completed unit) 1,040 kilograms @$8.61 Actual Costs Direct materials 2,600 kilograms @ $8.20 Round your final answer to the nearest dollar. The amount of direct materials price variance is $426 favorable $426 unfavorable $1,066 favorable $1,066 unfavorable Q2: The standard costs and actual costs for direct materials for the manufacture of 2,650 actual units of...
1. The following data relating to direct materials cost for October of the current year are...
1. The following data relating to direct materials cost for October of the current year are taken from the records of Good Clean Fun Inc., a manufacturer of organic toys: Quantity of direct materials used 4,200 lbs. Actual unit price of direct materials $3.80 per lb. Units of finished product manufactured 1,010 units Standard direct materials per unit of finished product 4 lbs. Direct materials quantity variance—unfavorable $624 Direct materials price variance—favorable $420 Determine the standard direct materials cost per...
20. Flapjack Corporation had 8,002 actual direct labor hours at an actual rate of $12.00 per...
20. Flapjack Corporation had 8,002 actual direct labor hours at an actual rate of $12.00 per hour. Original production had been budgeted for 1,100 units, but only 994 units were actually produced. Labor standards were 7.6 hours per completed unit at a standard rate of $12.86 per hour. The direct labor rate variance is a.$6,881.72 unfavorable b.$6,881.72 favorable c.$5,577.18 unfavorable d.$5,577.18 favorable 21. Flapjack Corporation had 7,768 actual direct labor hours at an actual rate of $12.08 per hour. Original...
Shelix Corp makes a product with the following standard costs: Standard Quantity or Hours Standard Price...
Shelix Corp makes a product with the following standard costs: Standard Quantity or Hours Standard Price or Rate Direct materials 3.5 grams 1.00 per gram Direct Labor 0.7 hours 11.00 per hour Variable Overhead 0.7 hours 2.00 per hour The company reported the following result concerning this product in August. Actual output 3000 units Raw materials used in production 11370 grams Actual direct labor hours 1910 hours Purchase of raw materials 12100 grams Actual price of raw materials purchased 1.20...
Ayala Corporation accumulates the following data relative to jobs started and finished during the month of...
Ayala Corporation accumulates the following data relative to jobs started and finished during the month of June 2020. Costs and Production Data Actual Standard Raw materials unit cost $2.40 $2.25 Raw materials units 11,500 10,600 Direct labor payroll $177,600 $171,760 Direct labor hours 14,800 15,200 Manufacturing overhead incurred $202,000 Manufacturing overhead applied $205,200 Machine hours expected to be used at normal capacity 41,500 Budgeted fixed overhead for June $62,250 Variable overhead rate per machine hour $3.00 Fixed overhead rate per...
The following data were drawn from the records of Perez Corporation. Planned volume for year (static...
The following data were drawn from the records of Perez Corporation. Planned volume for year (static budget) 3,000 units Standard direct materials cost per unit 2.30 pounds @ $ 1.60 per pound Standard direct labor cost per unit 2.20 hours @ $ 3.50 per hour Total expected fixed overhead costs $ 13,200 Actual volume for the year (flexible budget) 3,200 units Actual direct materials cost per unit 1.80 pounds @ $ 2.20 per pound Actual direct labor cost per unit...
1.) The following company information is available for March. The direct materials price variance is:   ...
1.) The following company information is available for March. The direct materials price variance is:      Direct materials purchased and used   3,400 feet @ $75 per foot   Standard costs for direct materials for March production   3,500 feet @ $73 per foot $500 favorable. $6,800 unfavorable. $7,000 unfavorable. $6,800 favorable. $7,000 favorable. 2.) Georgia, Inc. has collected the following data on one of its products. The direct materials quantity variance is:       Direct materials standard (3 lbs @ $1/lb)   $ 3...
Question: The data below related to the month of May for Sosa Inc. which uses a...
Question: The data below related to the month of May for Sosa Inc. which uses a standard cost system and two-variance analysis of overhead: Actual total direct labor............................................................    $43,400 Actual hours used.....................................................................      14,000 Standard hours allowed for good output...................................      15,000 Direct labor rate variance—debit..............................................      $1,400 Actual total overhead................................................................    $40,250 Budgeted fixed costs................................................................      $9,000 “Normal” activity in hours........................................................      18,000 Total overhead application rate per standard direct labor hour..        $3.00 __d___ 14.   What was...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT