9.5.11

The following data relate to labor cost for production of 3,200 cellular telephones:

Actual:	2,160 hrs. at $14.00
Standard:	2,130 hrs. at $14.30

Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Rate variance	$____	Favorable
Time variance	$____	Unfavorable
Total direct labor cost variance	$____	Favorable

d. Bellingham Company produces a product that requires 2.3 standard pounds per unit. The standard price is $3.20 per pound. 16,100 units used 36,800 pounds, which were purchased at $3.35 per pound.

What is the direct materials (a) price variance, (b) quantity variance, and (c) cost variance? Round your answers to the nearest dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

a. Direct materials price variance	$____	Unfavorable
b. Direct materials quantity variance	$____	Favorable
c. Direct materials cost variance	$____	Unfavorable