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7-33 DIRECT MATERIALS AND MANUFACTURING LABOUR VARIANCES, SOLVING UNKNOWNS. (CPA, adapted) On May 1, 2018, Terra Company began the manufacture of a new internet paging

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7-33 DIRECT MATERIALS AND MANUFACTURING LABOUR VARIANCES, SOLVING UNKNOWNS. (CPA, adapted) On May 1, 2018, Terra Company began the manufacture of a new internet paging device known as Flare. The company installed a standard costing system to account for manufacturing costs. The standard costs for a unit of Flare are as follows: Direct materials ( akgat Sko $15.00 Direct manufacturing labour (0.5 hours at 20 per hour 10.00 Manufacturing overhead (734 of direct manufacturing labour costs) 7.50 192.59 The following data were obtained from Tema's records for the month of Me Debit Credit Revenues $125.000 ACCOUnts payable control for May's purchases of direct materials 08.250 Direct materials rate variance 53.250 Direct materiais efficiency variance 2.500 Direct manufacturing labour rate variance 1.000 Direct manufacturing labour officiency variance! 2.000 Required Compute each of the following items for Terra for the month of May. Show your computations. 1. Standard direct manufacturing labour-hours (DMLH) allowed for actual output achieve 2. Actual direct manufacturing labour-hours (DMLH) worked. 3. Actual direct manufacturing labour wage rate. 4. Standard quantity of direct materials allowed (in kilograms). 5. Actual quantity of direct materials used in kilograms). 6. Actual quantity of direct materials purchased (in kilograms). 7. Actual direct materials rate per kilograms. 7-33 DIRECT MATERIALS AND MANUFACTURING LABOUR VARIANCES, SOLVING UNKNOWNS. (CPA, adapted) On May 1, 2018, Terra Company began the manufacture of a new internet paging device known as Flare. The company installed a standard costing system to account for manufacturing costs. The standard costs for a unit of Flare are as follows: Direct materials ( akgat Sko $15.00 Direct manufacturing labour (0.5 hours at 20 per hour 10.00 Manufacturing overhead (734 of direct manufacturing labour costs) 7.50 192.59 The following data were obtained from Tema's records for the month of Me Debit Credit Revenues $125.000 ACCOUnts payable control for May's purchases of direct materials 08.250 Direct materials rate variance 53.250 Direct materiais efficiency variance 2.500 Direct manufacturing labour rate variance 1.000 Direct manufacturing labour officiency variance! 2.000 Required Compute each of the following items for Terra for the month of May. Show your computations. 1. Standard direct manufacturing labour-hours (DMLH) allowed for actual output achieve 2. Actual direct manufacturing labour-hours (DMLH) worked. 3. Actual direct manufacturing labour wage rate. 4. Standard quantity of direct materials allowed (in kilograms). 5. Actual quantity of direct materials used in kilograms). 6. Actual quantity of direct materials purchased (in kilograms). 7. Actual direct materials rate per kilograms

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