Question
Blomdahl Corporation makes a product with the following standard costs: Inputs Standard Quantity/Hours Standard Price/Rate Direct Materials 5.2 Kilos $6.00 per Kilo Direct Labor 0.3
Blomdahl Corporation makes a product with the following standard costs: Inputs Standard Quantity/Hours Standard Price/Rate
Direct Materials 5.2 Kilos $6.00 per Kilo
Direct Labor 0.3 Hours $22.00 per hour
Variable Overhead 0.3 Hour $2.00 per hour The company reported the following results concerning this product in October.
Actual Output | 8,100 | units | |
Purchase of raw materials | 46,700 | kilos | |
Actual direct labor-hours | 2,570 | hours | |
Raw materials used in production | 43,130 | kilos | |
Cost of raw materials | $294,210 | Total | |
Cost of direct labor | $53,970 | Total | |
Actual variable overhead rate | $1.90 | per hour |
The materials price variance is recognized when materials are purchased. Variable overhead is applied on the basis of direct labor-hours. Required (Answers should not include commas nor negative signs. Answers should be in the format 4000 F or 4000 U):
. Compute the materials quantity variance.
. Compute the materials price variance.
. Compute the labor efficiency variance.
. Compute the direct labor rate variance.
. Compute the variable overhead efficiency variance.
. Compute the variable overhead rate variance.
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