Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A company uses the following standard costs to produce a single unit of output. Direct materials 8 pounds at $0.80 per pound=$6.40 Direct labor 0.40

A company uses the following standard costs to produce a single unit of output.

Direct materials 8 pounds at $0.80 per pound=$6.40

Direct labor 0.40 hour at $10.00 per hour=$4.00

Manufacturing overhead. 0.40 hour at $3.20 per hour=$1.28

During the latest month, the company purchased and used 77,000 pounds of direct materials at a price of $1.1 per pound to produce 10,000 units of output. Direct labor costs for the month totaled $37,636 based on 3,880 direct labor hours worked. Variable manufacturing overhead costs incurred totaled $8,800 and fixed manufacturing overhead incurred was $11,000. Based on this information, the direct labor rate variance for the month was:

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial and Managerial Accounting

Authors: Belverd E. Needles, Marian Powers, Susan V. Crosson

9th edition

1439037809, 978-1439037805

More Books

Students also viewed these Accounting questions

Question

5. How can I help others in the network achieve their goals?

Answered: 1 week ago