27.

The standard direct labor cost per unit of finished goods is computed in which of the following ways?

Multiple Choice

• Standard hours per unit of finished goods standard rate per hour

• Standard hours per unit of finished goods standard rate per hour

• Standard hours per unit of finished goods standard rate per hour

• Standard hours per unit of finished goods (standard rate per hour actual rate per hour)

28.

Assume that a company uses a standard cost system and applies overhead to production based on direct labor-hours. It provided the following excerpt from the standard cost card of its only product:

	Standard Hours		Standard Rate		Standard Cost
Fixed manufacturing overhead	2	hours	$ 6.00	per hour	$ 12.00

During the most recent period, the following additional information was available:

• The fixed overhead volume variance was $4,200 F.
• 46,000 direct labor-hours were actually used to produce 24,100 units.

What was the total budgeted fixed overhead cost for the period?

Multiple Choice

• $293,400

• $285,000

• $280,200

• $271,800

29. Assume the following:

• The standard price per pound is $2.00.
• The standard quantity of pounds allowed per unit of finished goods is 4 pounds.
• The actual quantity of materials purchased and used in production is 50,000 pounds.
• The actual purchase price per pound of materials was $2.25.
• The company actually produced 13,000 units of finished goods during the period; however, its planning budget was based on 12,800 units.

What is the materials price variance?

Multiple Choice

• $12,500 U

• $12,500 F

• $13,000 U

• $13,000 F