Question

You have been given the following information about the production of Usher Co., and are asked...

You have been given the following information about the production of Usher Co., and are asked to provide the plant manager with information for a meeting with the vice president of operations.

Standard Cost Card
Direct materials (9 pounds at $5 per pound) $45.00
Direct labor (0.80 hours at $10) 8.00
Variable overhead (0.80 hours at $5 per hour) 4.00
Fixed overhead (0.80 hours at $7 per hour) 5.60
$62.60


The following is a variance report for the most recent period of operations.

Variances

Costs

Total Standard Cost

Price

Quantity

Direct materials $410,400 $8,398 F $9,500 U
Direct labor 72,960 3,968 U 6,400 U

How many units were produced during the period?

Number of units

eTextbook and Media

  

  

How many pounds of raw materials were purchased and used during the period?

Raw material pounds

eTextbook and Media

  

  

What was the actual cost per pound of raw materials? (Round answer to 2 decimal places, e.g. 1.25.)

Actual cost per pound of raw materials

$

/lb

eTextbook and Media

  

  

How many actual direct labor hours were worked during the period?

Actual direct labor hours hours

eTextbook and Media

  

  

What was the actual rate paid per direct labor hour? (Round answer to 2 decimal places, e.g. 1.25.)

Actual rate paid per direct labor hour

$

/hr

eTextbook and Media

  

  

Save for Later

  

Homework Answers

Answer #1

1) Number of units = 410400/45 = 9120 Units

2) Material quantity variance = (SQ-AQ)SP

-9500 = (9120*9*5-5X)

5X = 410400+9500

X(actual qty) = 83980 Pounds

3) Material price variance = (SP-AP)AQ

8398 = (5*83980-83980X)

83980X = 411502

X(actual cost per pound) = 4.90

4) Labor quantity variance = (SH-AH)SR

-6400 = (9120*.80*10-10X)

10X = 79360

X(actual hour) = 7936 Hour

5) Labor rate variance = (SR-AR)AH

-3968 = (10*7936-7936X)

7936X = 83328

X(actual rate) = 10.50 per hour

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
You have been given the following information about the production of Usher Co., and are asked...
You have been given the following information about the production of Usher Co., and are asked to provide the plant manager with information for a meeting with the vice president of operations. Standard Cost Card Direct materials (8 pounds at $5 per pound) $40.00 Direct labor (0.70 hours at $10) 7.00 Variable overhead (0.70 hours at $3 per hour) 2.10 Fixed overhead (0.70 hours at $7 per hour) 4.90 $54.00 The following is a variance report for the most recent...
You have been given the following information about the production of Usher Co., and are asked...
You have been given the following information about the production of Usher Co., and are asked to provide the plant manager with information for a meeting with the vice president of operations. Standard Cost Card Direct materials (5 pounds at $5 per pound) $25.00 Direct labor (0.90 hours at $10) 9.00 Variable overhead (0.90 hours at $3 per hour) 2.70 Fixed overhead (0.90 hours at $8 per hour) 7.20 $43.90 The following is a variance report for the most recent...
You have been given the following information about the production of Usher Co., and are asked...
You have been given the following information about the production of Usher Co., and are asked to provide the plant manager with information for a meeting with the vice president of operations. Standard Cost Card Direct materials (7 pounds at $5 per pound) $35.00 Direct labor (0.70 hours at $10) 7.00 Variable overhead (0.70 hours at $4 per hour) 2.80 Fixed overhead (0.70 hours at $8 per hour) 5.60 $50.40 The following is a variance report for the most recent...
You have been given the following information about the production of Usher Co., and are asked...
You have been given the following information about the production of Usher Co., and are asked to provide the plant manager with information for a meeting with the vice president of operations. Standard Cost Card Direct materials (9 pounds at $5 per pound) $45.00 Direct labor (0.70 hours at $10) 7.00 Variable overhead (0.70 hours at $5 per hour) 3.50 Fixed overhead (0.70 hours at $7 per hour) 4.90 $60.40 The following is a variance report for the most recent...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 6 pounds $3 per pound $ 18.00 Direct labor 0.8 hours $15 per hour    12.00 Variable manufacturing overhead 0.8 hours $3 per hour 2.40 Total standard cost per unit $32.40 Total Standard Cost* Variances Reported Price or Rate Quantity or Efficiency Direct...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 6 pounds $3 per pound $ 18.00 Direct labor 0.8 hours $15 per hour 12.00 Variable manufacturing overhead 0.8 hours $3 per hour 2.40 Total standard cost per unit $32.40 Total Standard Cost* Variances Reported Price or Rate Quantity or Efficiency Direct...
The following labor standards have been established for a particular product: Standard labor-hours per unit of...
The following labor standards have been established for a particular product: Standard labor-hours per unit of output 2.4 hours Standard labor rate $13.95 per hour The following data pertain to operations concerning the product for the last month:    Actual hours worked 4,300 hours Actual total labor cost $50,720 Actual output 2,900 units What is the labor rate variance for the month? $9,265 F $10,847 F $3,360 F $3,360 U Jackson Industries uses a standard cost system in which direct...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 2.10 pounds $ 16.80 per pound $ 35.28 Direct labor 1.00 hours $ 15.60 per hour $ 15.60 Variable manufacturing overhead 1.00 hours $ 9.20 per hour $ 9.20 Total standard cost per unit $ 60.08 Total Variances Reported Standard Cost* Price...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 2.30 pounds $ 16.70 per pound $ 38.41 Direct labor 1.00 hours $ 15.80 per hour $ 15.80 Variable manufacturing overhead 1.00 hours $ 9.50 per hour $ 9.50 Total standard cost per unit $ 63.71 Total Variances Reported Standard Cost* Price...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from...
Vitex, Inc. manufactures a popular consumer product and it has provided the following data excerpts from its standard cost system: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 2.40 pounds $ 17.00 per pound $ 40.80 Direct labor 1.00 hours $ 15.50 per hour $ 15.50 Variable manufacturing overhead 1.00 hours $ 9.50 per hour $ 9.50 Total standard cost per unit $ 65.80 Total Variances Reported Standard Cost* Price...