1)

Direct Materials Variances The following data relate to the direct materials cost for the production of 10,000 automobile tires: Actual: 145,000 lbs. at $2.80 per lb. Standard: 150,000 lbs. at $2.75 per lb. a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Materials Price Variance Unfavorable Direct Materials Quantity Variance Favorable Total Direct Materials Cost Variance Favorable VDirect Labor Variances The following data relate to labor cost for production of 20,000 cellular telephones: Actual: 8,450 hrs, at $22.30 Standard: 8,400 hrs, at $23.00 a. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Rate variance $:] Favorable - Time variance $:] Unfavorable * f Total direct labor cost variance $:] Favorable * Factory Overhead Cost Variances The following data relate to factory overhead cost for the production of 10,000 computers: Actual: Variable factory overhead 262,000 Fixed factory overhead 20,000 Standard: 14,000 hrs. at $25 350,000 If productive capacity of 100% was 15,000 hours and the total factory overhead cost budgeted at the level of 14,000 standard hours was $356,000, determine the variable factory overhead controllable variance, fixed factory overhead volume variance, and total factory overhead cost variance. The fixed factory overhead rate was $6.00 per hour. Enter a favorable variance as a negative number using 2 minus sign and an unfavorable variance as a positive number. Variance Amount Favorable/Unfavorable Controllable variance 5 Favorable - f Volume variance 5 Unfavorable - f L Total factory overhead cost variance 5 Unfavorable