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A10 Q6 Javonte Co. set standards of 2 hours of direct labor per unit of product and $16.70 per hour for the labor rate. During
A10 Q6
Javonte Co. set standards of 2 hours of direct labor per unit of product and $16.70 per hour for the labor rate. During October, the company uses 14.000 hours of direct labor a $236,600 total cost to produce 7,300 units of product. In November, the company uses 18,000 hours of direct laborat a $305,100 total cost to produce 7700 units of product AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate (1) Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two months. Classify each variance as favorable or unfavorable. (2) Javonte investigates variances of more than 5% of actual direct labor cost. Which direct labor variances will the company Investigate further? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two month unha deschise Javonte Co. set standards of 2 hours of direct labor per unit of product and $16.70 per hour for the labor rate. During October, the company uses 14.000 hours of direct labor a $236,600 total cost to produce 7,300 units of product. In November, the company uses 18,000 hours of direct laborat a $305,100 total cost to produce 7700 units of product AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate (1) Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two months. Classify each variance as favorable or unfavorable. (2) Javonte investigates variances of more than 5% of actual direct labor cost. Which direct labor variances will the company Investigate further? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two month unha deschise Step by Step Solution
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