Baltinglass & Sons uses the following standard costs to produce a single unit of output. Product, Quantity
Fantastic news! We've Found the answer you've been seeking!
Question:
Baltinglass & Sons uses the following standard costs to produce a single unit of output.
| Description | Standard amount and cost per unit |
|---|---|
| Direct materials | 6 pounds at $0.90 per pound |
| Direct labor | 0.5 hour at $12.00 per hour |
| Manufacturing overhead | 0.5 hour at $4.80 per hour |
During the latest month, the company purchased and used 58,000 pounds of direct materials at a price of $1.00 per pound to produce 10,000 units of output. Direct labor costs for the month totaled $56,350 based on 4,900 direct labor hours worked. Variable manufacturing overhead costs incurred totaled $15,000 and fixed manufacturing overhead incurred was $10,400. Based on this information, the direct labor rate variance for the month was:
Expert Answer:
Posted Date:
