(AlCPA) Basic standard cost variances Armando Corporation manufactures a product with the following standard costs: Direct materials...
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(AlCPA) Basic standard cost variances Armando Corporation manufactures a product with the following standard costs:
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Direct materials (20 yards $1.35 per yard) Direct labor (4 hours @ $9.00 per hour.. Factory overhead (applied at 5/6 of direct labor cost). Total standard cost per unit of output ..... $27 36 30 $93 Standards are based on normal monthly production of 2,400 direct labor hours for 600 units of output. The following information pertains to July activities: Units produced in July Direct materials purchased (18,000 yards @ $1.38 per yard) Direct materials used (9,500 yards) Direct labor (2,100 hours @ $9.15 per hour) Actual factory overhead 500 $24,840 19,215 16,650
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