Direct Materials and Direct Labor Variance Analysis Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 50 employees. Each employee presently provides 35 hours of labor per week. Information about a production week is as follows: Standard wage per hour Standard labor time per unit Standard number of lbs. of brass Standard price per lb. of brass Actual price per lb. of brass $16.2 20 min. 1.5 lbs. $11.25 $11.5 12,051 lbs. Actual lbs. of brass used during the week 7,800 $16.69 Number of units produced during the week Actual wage per hour Actual hours for the week (50 employees x 35 hours) 1,750 hrs. Required: a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places. Direct materials standard cost per unit Direct labor standard cost per unit Total standard cost per unit b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Materials Price Variance Unfavorable Direct Materials Quantity Variance Unfavorable Total Direct Materials Cost Variance Unfavorable c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Labor Rate Variance Unfavorable Direct Labor Time Variance Favorable b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Materials Price Variance Unfavorable Direct Materials Quantity Variance Unfavorable Total Direct Materials Cost Variance Unfavorable c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Labor Rate Variance Unfavorable Favorable Direct Labor Time Variance Total Direct Labor Cost Variance Favorable Feedback
