Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Each finished gutar contains seven pounds of veneered wood. In addition, one pound of wood lis typically wasted in the production process. The veneered wood

image text in transcribed
Each finished gutar contains seven pounds of veneered wood. In addition, one pound of wood lis typically wasted in the production process. The veneered wood used in the guitars has a standard price of $12 per pound. The other parts needed to complete each gutar, such as the bridge and strings. cost $15 per guitar. The labor standards for 5 poringsteen's two production departments are as foliows: Cohstuktion Department. 6 hours of direct labor at $20 per hour Finishing Deparment 3 hours of direct labor at $15 per hout The following pertains to the month of July. 1. There were no beginning or ending work-in-process imventories in either production department. 2. There was no beginning finished-goods inventory. 3. Actual production was 564 guitars, and 364 guitars were sold on account for $400 cach. 4. The company purchased 6.800 pounds of veneered wood ot a price of $1250 per pound. 5. Actual usage of veneered wood was 5,300 pounds of the wood purchased during July. 6. Enough parts (bridges and strings) to finish 664 guitars were purchased at a cost of $9,960 7. The Construction Department used 3.250 direct-labor hours. The total direct-labor cost in the Construction Department was $61750. 8. The Finishing Department used 1,762 direct-labor hours. The totat direct-fabor cost in that department vas $28,192 . There were no direct-material variances in the Finishing Department PR 10-47 (Algo) Part 2: Compute the direct-materlal and direct-labor varlances 2. Complete the table below that compute the July direct-material and direct-iabor varnances in the Construction Department and the July direct-labor variances in the Finishing Department. (Refer to Exhibit10-2, Exhibit 10,3 and Exhibit 10-4 for guidance) Complete this question by entering vour answers in the tabs below. Complete the table below that compute the suly direct material poce and quantity variance in the Construction Departinemt. Complete the table below that compute the July dorect matenal ponce and quantity vanance in the Construction Department, decinal places

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

Students also viewed these Accounting questions

Question

Explain the importance of Human Resource Management

Answered: 1 week ago

Question

Discuss the scope of Human Resource Management

Answered: 1 week ago

Question

Discuss the different types of leadership

Answered: 1 week ago

Question

Write a note on Organisation manuals

Answered: 1 week ago

Question

4. Explain the strengths and weaknesses of each approach.

Answered: 1 week ago

Question

3. Identify the methods used within each of the three approaches.

Answered: 1 week ago