1.

The following labor standards have been established for a particular product:

Standard labor-hours per unit of output	10.3	hours
Standard labor rate	$14.10	per hour

The following data pertain to operations concerning the product for the last month:

Actual hours worked	8,100	hours
Actual total labor cost	$110,970
Actual output	900	units

What is the labor efficiency variance for the month?

$19,737 F

$19,737 U

$16,029 F

$16,497 F

2.

Larance Detailing's cost formula for its materials and supplies is $2,020 per month plus $7 per vehicle. For the month of November, the company planned for activity of 97 vehicles, but the actual level of activity was 57 vehicles. The actual materials and supplies for the month was $2,530.

The materials and supplies in the flexible budget for November would be closest to:

$2,699

$2,530

$2,419

$1,554

3.

Epley Corporation makes a product with the following standard costs:

	Standard Quantity or Hours	Standard Price or Rate
Direct materials	2.0 pounds	$7.00 per pound
Direct labor	0.9 hours	$15.00 per hour
Variable overhead	0.9 hours	$5.00 per hour

In July the company produced 4,600 units using 10,270 pounds of the direct material and 2,250 direct labor-hours. During the month, the company purchased 10,840 pounds of the direct material at a cost of $76,720. The actual direct labor cost was $38,237 and the actual variable overhead cost was $11,938.

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The materials quantity variance for July is:

rev: 11_06_2015_QC_CS-32670

$700 U

$840 F

$7,490 U

$700 F