Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ABC Company began operations on June 1, 2019. For its first month of operations, ABC Company established the following standards for each unit of its

ABC Company began operations on June 1, 2019. For its first month of operations, ABC Company established the following standards for each unit of its single product:  standard quantity standard price direct materials 6 pounds $7.50 per pound direct labor 3 hours ????? per hour variable overhead 3 hours ????? per hour The following information is available for the month of June: 1. Direct materials were purchased at a total cost of $259,000. 2. 15,000 direct labor hours were worked. 3. The variable overhead cost for the month totaled $88,300. 4. 4,000 units were produced. 5. At June 30, there were 6,000 pounds of direct materials left. 6. The direct material price variance was $49,000 unfavorable. 7. The direct labor rate variance was $26,250 favorable. 8. The total direct labor variance was $12,750 unfavorable. 9. The total variable overhead variance was $24,700 unfavorable. Calculate the actual rate paid per hour to direct labor workers in June. 

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

Step: 3

blur-text-image

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

Using Microsoft Excel And Access 2013 For Accounting

Authors: Glenn Owen

4th Edition

1305161858, 9781305161856

More Books

Students also viewed these Accounting questions