Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information...
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Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $480,480 - 924,000 units) Standard Quantity Standard Price (Rate) $ 1.55 per sq. ft. 13 sq ft 0.3 hr $12.10 per hr. 0.3 hr. $ 1.20 per hr. Parker Plastic had the following actual results for the past year. Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,180,000 12,100,000 $ 18,150,000 322,000 $ 3,799,600 $ 1,200,000 $ 379,000 Standard Unit Cost $ 20.15 3.63 0.36 0.52 Required: Calculate Parker Plastic's direct materials price and quantity variances. Direct Material Price Variance Direct Material Quantity Variance Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Standard Quantity Standard Price (Rate) Standard Unit Cost 10 sq ft. $ 0.82 per sq. ft $ 8.20 0.25 hr. $ 10.20 per hr. 2.55 $ 1.40 per hr. 0.35 0.30 Variable manufacturing overhead (based on 0.25 hr. direct labor hours) Fixed manufacturing overhead $270,600- 902,000 units) Parker Plastic had the following actual results for the past year. Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,020,000 11,000,000 $ 8,800,000 300,000 $ 3,000,000 $ 400,000 $ 357,000 Required: Calculate Parker Plastic's direct labor rate and efficiency variances. Direct Labor Rate Variance Direct Labor Efficiency Variance Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $480,480 - 924,000 units) Standard Quantity Standard Price (Rate) $ 1.55 per sq. ft. 13 sq ft 0.3 hr $12.10 per hr. 0.3 hr. $ 1.20 per hr. Parker Plastic had the following actual results for the past year. Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,180,000 12,100,000 $ 18,150,000 322,000 $ 3,799,600 $ 1,200,000 $ 379,000 Standard Unit Cost $ 20.15 3.63 0.36 0.52 Required: Calculate Parker Plastic's direct materials price and quantity variances. Direct Material Price Variance Direct Material Quantity Variance Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Standard Quantity Standard Price (Rate) Standard Unit Cost 10 sq ft. $ 0.82 per sq. ft $ 8.20 0.25 hr. $ 10.20 per hr. 2.55 $ 1.40 per hr. 0.35 0.30 Variable manufacturing overhead (based on 0.25 hr. direct labor hours) Fixed manufacturing overhead $270,600- 902,000 units) Parker Plastic had the following actual results for the past year. Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,020,000 11,000,000 $ 8,800,000 300,000 $ 3,000,000 $ 400,000 $ 357,000 Required: Calculate Parker Plastic's direct labor rate and efficiency variances. Direct Labor Rate Variance Direct Labor Efficiency Variance
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Managerial Accounting
ISBN: 978-0078025518
2nd edition
Authors: Stacey Whitecotton, Robert Libby, Fred Phillips
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