Answered step by step
Verified Expert Solution
Question
1 Approved Answer
ENA, Inc. uses standard costs for direct material and direct labor. Last year, ENA estimated the following standard costs for one of their products, the
ENA, Inc. uses standard costs for direct material and direct labor. Last year, ENA estimated the following standard costs for one of their products, the 5-gallon pail.
Budgeted quantity | Budgeted price |
Direct materials | 0.70 pounds | $70 per pound |
Direct labor | 1 hour | $35 per hour |
Last month, ENA produced and sold 25,000 pails. Actual units of direct materials and labor were:
Direct materials - 23,000 pounds at an average cost per pound of $75
Direct labor hours: 17,500 at an average wage of $35.75 per hour.
The direct manufacturing labor efficiency variance during June is ________.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started