3-

Claremont Company sells refurbished copiers. During the month, the company sold 180 copiers at an average price of $3,000 each. The budget for the month was to sell 175 copiers at an average price of $3,200. The expected total sales for 180 copiers were:

Multiple Choice

• $540,000.

• $576,000.

• $525,000.

• $560,000.

• $550,000.

  9- A job was budgeted to require 3 hours of labor per unit at $11.00 per hour. The job consisted of 8,000 units and was completed in 22,000 hours at a total labor cost of $269,500. What is the total labor cost variance?

  Multiple Choice

• $2,000 unfavorable.

• $3,000 unfavorable.

• $5,500 unfavorable.

• $8,000 unfavorable.

• $9,000 unfavorable.

  13- Parallel Enterprises has collected the following data on one of its products. During the period the company produced 25,000 units. The direct materials quantity variance is:

  Direct materials standard (7 kg. @ $2/kg)	$	14	per finished unit
  Actual cost of materials purchased	$	322,500
  Actual direct materials purchased and used		150,000	kg

  Multiple Choice

• $27,500 unfavorable.

• $50,000 unfavorable.

• $50,000 favorable.

• $22,500 unfavorable.

• $22,500 favorable.

  12- Use the following data to find the direct labor rate variance if the company produced 7,000 units of product during the period.

  Standard:
  Direct labor (3.2 hrs. per unit @ $12/hr.)	$	38.40	per unit
  Actual cost incurred:
  Direct labor (24,500 hrs. @ $12.50/hr.)	$	306,250

  Multiple Choice

• $12,250 unfavorable.

• $14,700 unfavorable.

• $14,700 favorable.

• $12,250 favorable.

• $26,950 favorable.

  16- A job was budgeted to require 3 hours of labor per unit at $11.00 per hour. The job consisted of 8,000 units and was completed in 22,000 hours at a total labor cost of $269,500. What is the direct labor rate variance?

  Multiple Choice

• $27,500 unfavorable.

• $22,000 favorable.

• $16,000 unfavorable.

• $16,000 favorable.

• $6,000 unfavorable.

  20- Summerlin Company budgeted 4,000 pounds of material costing $5.00 per pound to produce 2,000 units. The company actually used 4,500 pounds that cost $5.10 per pound to produce 2,000 units. What is the direct materials quantity variance?

  Multiple Choice

• $400 unfavorable.

• $450 unfavorable.

• $2,500 unfavorable.

• $2,550 unfavorable.

• $2,950 unfavorable.