Harbaugh Manufacturing company uses a standard cost accounting system. In 2012, 50,000 units were produced. Each unit took several kilograms of direct materials and two standard hours of direct labour at a standard hourly rate of $12. Normal capacity was 96,000 direct labour hours. During the year, 200,000 kg of raw materials were purchased at $1.00 per kilogram. All materials purchased were used during the year.

Instructions

Answer the following questions:

(a) If the materials price variance was $10,000 favourable, what was the standard materials price per kilogram?

(b) If the materials quantity variance was $23,750 unfavourable, what was the standard materials quantity per unit?

(c) What were the standard hours allowed for the units produced?

(d) If the labour quantity variance was $10,920 unfavourable, what were the actual direct labour hours worked?

(e) If the labour price variance was $30,273 favourable, what was the actual rate per hour?

(f) If total budgeted manufacturing overhead was $796,800 at normal capacity, what was the predetermined overhead rate?

(g) What was the standard cost per unit of product?

(h) How much overhead was applied to production during the year?

(i) Using one or more answers above, what were the total costs assigned to work in process?