Direct Materials and Direct Labor Variance Analysis Oasis Faucet Company manufactures faucets in a small manufacturing facility. The faucets are made from zinc. Manufacturing has 80 employees. Each employee presently provides 40 hours of labor per week. Information about a production week is as follows: Standard wage per hr. $16.80 Standard labor time per faucet 15 min. Standard number of lbs. of zinc 2.6 lbs. Standard price per lb. of zinc $22.00 Actual price per lb. of zinc $21.85 Actual lbs. of zinc used during the week 31,750 lbs. Number of faucets produced during the week 12,000 Actual wage per hr. $17.00 Actual hrs. for the week 3,200 hrs. Required: 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 Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to two decimal places, if necessary. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Price variance Quantity variance Total direct materials cost variance Favorable Unfavorable Unfavorable Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Rate variance Unfavorable Time variance Unfavorable Total direct labor cost variance Unfavorable Direct Materials and Direct Labor Variance Analysis Oasis Faucet Company manufactures faucets in a small manufacturing facility. The faucets are made from zinc. Manufacturing has 80 employees. Each employee presently provides 40 hours of labor per week. Information about a production week is as follows: Standard wage per hr. $16.80 Standard labor time per faucet 15 min. Standard number of lbs. of zinc 2.6 lbs. Standard price per lb. of zinc $22.00 Actual price per lb. of zinc $21.85 Actual lbs. of zinc used during the week 31,750 lbs. Number of faucets produced during the week 12,000 Actual wage per hr. $17.00 Actual hrs. for the week 3,200 hrs. Required: 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 Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to two decimal places, if necessary. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Price variance Quantity variance Total direct materials cost variance Favorable Unfavorable Unfavorable Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Rate variance Unfavorable Time variance Unfavorable Total direct labor cost variance Unfavorable
