22-4

22-7

22-9

to pla The July was 406,000 bottles, nine actual costs for July the current year were as follows: Cost Category Actual Cost for the Month Ended July 31 Direct labor 7,540 Direct materials 35,750 Factory overhead 2,680 Total a. Prepare the July manufacturing standard cost budget ddirect labor, direct materials, b. and factory overhead) assuming planned production. variances performance report for manufacturing costs, showing the total cost for direct materials, d labor, and factory overhead for July. Interpret the budget performance report. EX 22 irect materials variances OBJ. 3 e following data relate to the direct materials cost for the production of 4,000 automobile tires Actual: 72,500 lbs. at $3.30 Standard: 75,16 lbs. at $3.15 a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. b. To whom should the variances be reported for analysis and control? EX 22-5 Direct materials variances OBJ. 3 The Silicone Engine Inc. produces wrist-worn tablet computers. The company uses Thin Film (TFC) LCD displays for its products. Each tablet uses one display. The company produced 580 tablets during December. However, due to LCD defects, the company actu ally used 600 LCD displays during December. Each display has a standard cost of Six hundred LCD displays were purchased for December production at a cost of $8,550. Determine the price variance, quantity variance, and total direct materials cost variance