Attached are the ones I am having issues with.
Actual Direct Labor Cost During August, your shoe-making company incurred actual direct labor costs of $69,069 for 7,590 hours of direct labor in the production of 2,225 pairs of shoes. Given this information, calculate the actual cost of labor per hour. If required, round the actual cost of labor per hour to the nearest cent. Manufacturing Costs Actual Total Cost Actual Total Hours Actual Cost per Hour Direct Labor 69,069 7,590 hours 9.1 Feedback Check My Work Use the actual total cost of labor and actual hours used as shown to compute the actual labor cost per hour. APPLY THE CONCEPTS: Conduct the direct labor cost variance analysis Illustrated Example: Calculating Direct Labor Cost Variance Complete the following graphic to compute the direct labor rate variance, the direct labor time variance, and the total direct labor cost variance for your shoe-making business. When required, enter the rates as dollars and cents. If required, use the minus sign to indicate a negative value. Actual Cost Standard Cost Actual Hours x Actual Rate Actual Hours x Standard Rate Standard Hours X Standard Rate 7,590 X 9.1 7,590 8.6 24.08 X 24.08 X 69,069 65,274 24.08 X Direct Labor Rate Variance Direct Labor Time Variance $ 69,069 65,274 V $ 65,274 V 3,795 X $ 3,795 Y UV 3,795 X UV Total Labor Cost Variance 69,069 3,795 X UVIf actual costs are greater than standard costs, the variance is unfavorable v . alternatively, if actual costs are less than standard costs, the variance is favorable v Direct Materials Cost Variance Calculating Direct Materials Cost Variance, you can see that the actual costs are higher v than standard and the actual quantity purchased and used is less v than standard. The two variances are combined for a total favorable v direct material cost variance of $ Direct Labor Cost Variance Calculating Direct Labor Cost Variance, you can see that the actual costs are higher v than standard and the actual hours are less v than standard. The two variances are combined for a total favorable v direct labor cost variance of $ Feedback Check My Work The illustrations provide the information to complete the problem. The standard cost sheet for a product is shown. Standard Cost Manufacturing Costs Standard price Standard Quantity per unit Direct materials $4.50 per pound 5.00 pounds $ 27.00 Direct labor $11.51 per hour 2.40 hours $ 27.62 Overhead $1.90 per hour 2.40 hours 4.56 $ 59.18 The company produced 3,000 units that required: . 18,500 pounds of material purchased at $4.35 per pound . 7,140 hours of labor at an hourly rate of $11.91 per hour . Actual overhead in the period was $14,100 Fill in the Budget Performance Report for the period. Some amounts are provided. Round your answers to the nearest dollar. However, do not round your intermediate calculations. Budget Performance Report Variance Manufacturing Costs: Actual Standard [Favorable)/ 3,000 units Costs Costs Unfavorable Direct materials $80,475 S Direct labor 82,872 Overhead 14,100 $2,060 Split the direct materials cost variance into the materials price varaince and the Direct materials quantity variance. Remember that you want to isolate the price variance from the quantity variance so be sure to use factors that do not overlap. Also remember that the two variances should equal the total direct material cost variance.Fill in the Budget Performance Report for the period. Some amounts are provided. Round your answers to the nearest dollar. However, do not round your intermediate calculations. Budget Performance Report Variance Manufacturing Costs: Actual Standard (Favorable)/ 3,000 units Costs Costs Unfavorable Direct materials $80,475 S Direct labor 82,872 Overhead 14,100 $2,060 Split the direct materials cost variance into the materials price varaince and the Direct materials quantity variance. Remember that you want to isolate the price variance from the quantity variance so be sure to use factors that do not overlap. Also remember that the two variances should equal the total direct material cost variance. Direct materials price variance: Direct materials quantity variance: (Actual price - Standard price) x actual v (Actual quantity - Standard quantity) x quantity standard v price $2,775 favorable v $2,250 unfavorable Split the direct labor cost variance into the direct labor rate variance and the direct labor time variance. Remember that you want to isolate the price variance from the efficiency variance so be sure to use factors that do not overlap. Also remember that the two variances should equal the total direct labor cost variance. Direct labor rate variance: Direct labor time variance: (Actual rate - Standard rate) x actual v (Actual hours - Standard hours) x hours standard v labor rate $2,856 unfavorable v $691 favorable v Manufacturing variances are period costs that are rolled into cost of sales v and reported on the income statement . A favorable variance is recorded as a credit v and an unfavorable variance is recorded as a debit v
