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Computation of Variable Cost Variances The following information pertains to the standard costs and actual activity for Repine Company for September: Standard cost per unit
Computation of Variable Cost Variances The following information pertains to the standard costs and actual activity for Repine Company for September:
Standard cost per unit | |
Direct materials | 3 units of material A x $8.00 per unit |
2 units of material B x $4.00 per unit | |
Direct labor | 2 hours x $15.00 per hour |
Activity for September | |
Materials purchased | |
Material A | 7,000 units x $7.80 per unit |
Material B | 4,800 units x $4.50 per unit |
Materials used | |
Material A | 6,430 units |
Material B | 3,950 units |
Direct labor used | 4,100 hours x $15.50 per hour |
Production output | 2,000 units |
There were no beginning direct materials inventories.
(a) Determine the materials price and quantity variances.
Material A | Material B | |||
---|---|---|---|---|
Materials price variance | Answer | AnswerFU | Answer | AnswerFU |
Materials quantity variance | Answer | AnswerFU | Answer | AnswerFU |
(b) Determine the labor rate and efficiency variances.
Labor rate variance | Answer | AnswerFU |
Labor efficiency variance | Answer | AnswerFU |
Please answer all parts of the question.
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