The standards for one case of liquid weed killer are as follows Direct materials

Question

The standards for one case of liquid weed killer are as follows Direct materials Direct labor Variable overhead (based on machine hours) 7 lb @ $8.25Ab 4 hr $17.6/hr 1.3 hr$6 05/hr During the week ended May 6, the following activity took place 4,693 machine hours were worked. 26,866 lb of raw material were purchased for inventory at a total cost of $226.212 3,800 cases of finished product were produced. 26,463 lb of raw material were used. 14,866 labor hours were worked at an average rate of $17.88 per hour $27,407 actual variable overhead costs were incurred Required: Calculate each of the following variances. (Do not round intermediate calculations. Indicate effect of each variance by selecting "F" for favorable, "U" for unfavorable, and"None" fo effect (i.e., zero variance).) a. Price variance for raw materials purchased b. Raw materials usage variance C. Direct labor rate variance d. Direct labor efficiency variance. e. Variable overhead spending variance. f. Variable overhead efficiency variance References eBook & Resources Worksheet Learning o and explain the two

Explanation / Answer

Working:

a. Price variance for raw materials purchased $      4,567.50 U b. Raw materials usage variance $      1,130.25 F c. Direct labor rate variance $      4,162.48 U d. Direct labor efficiency variance $      5,878.40 F e. Variable overhead spending variance $         985.65 F f. Variable overhead efficiency variance $      1,494.35 F

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.