Reconstructing Actual Inputs. Azcue Company manufactures a number of different products. Its most profitable product comes from a division in northern Mexico, which has the following standard cost sheet (all monetary amounts are in pesos):

Materials purchases for the month were 300,000 kilograms. The division produced 120,000 units, with no work in process inventories at the beginning or end

of the month. All variances are closed to the Cost of Goods Sold account at the end of each month.
\section*{Required:}
1. Calculate the actual materials price per kilogram.
2. Calculate the number of kilograms of materials actually used in production.
3. Calculate the actual number of labor hours worked.

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Materials (2 kilograms at M$8.5 per kilogram) Labor (.5 hour at M$12 per hour).. Overhead (M$18 per labor hour). Total product cost. M$17 9 M$32 Income statements are prepared for each product line on a monthly basis. At the end of a recent month, the following income statement information was avail- able for the product: Sales (M$45 x 92,000 units) Cost goods sold at standard (M$32 x 92,000 units) Gross profit at standard Manufacturing cost variances: M$4,140,000 2,944,000 M$1,196,000 Materials price.. Materials usage Labor rate..... Labor efficiency Adjusted gross profit M$ 7,500 F 8,500 U 5,900 U 12,000 F 5,100 M$1,201,100