Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

During March, Manhattan Fabrics Corporation manufactured 650 units of a special multilayer fabric with the trade name Stylex. The following information from the Stylex production

During March, Manhattan Fabrics Corporation manufactured 650 units of a special multilayer fabric with the trade name Stylex. The following information from the Stylex production department also pertains to March.

During March, Manhattan Fabrics Corporation manufactured 650 units of a special multilayer fabric with the trade name Stylex. The following information from the Stylex production department also pertains to March.

Direct material purchased: 19,500 yards at $1.53 per yard $ 29,835
Direct material used: 11,000 yards at $1.53 per yard 16,830
Direct labor: 3,600 hours at $9.30 per hour 33,480

The standard prime costs for one unit of Stylex are as follows:
Direct material: 20 yards at $1.50 per yard $ 30.00
Direct labor: 4 hours at $9.00 per hour 36.00

Total standard prime cost per unit of output $ 66.00

Required:

Compute the following variances for the month of March. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing The ISM

Authors: Mr. Ajoy Chatterjee

3rd Edition

ISBN: 8190233041, 978-8190233040

More Books

Students also viewed these Accounting questions