Exercise 23-10

During March 2017, Toby Tool & Die Company worked on four jobs. A review of direct labor costs reveals the following summary data.

		Actual				Standard
Job Number		Hours		Costs		Hours		Costs		Total Variance
A257		200		$4,000		210		$4,200		$200	F
A258		480		11,040		468		9,360		1,680	U
A259		305		6,619		307		6,140		479	U
A260		110		1,980		103		2,060		80	F
Total variance										$1,879	U

Analysis reveals that Job A257 was a repeat job. Job A258 was a rush order that required overtime work at premium rates of pay. Job A259 required a more experienced replacement worker on one shift. Work on Job A260 was done for one day by a new trainee when a regular worker was absent. Prepare a report for the plant supervisor on direct labor cost variances for March.

Quantity Job Actual Standard NO Hours Hours Va 200 210 230 Favorable A2 A258 110 103 A260 Unfavorable Click if you would like o show work for this ques TOBY TOOL & DIE COMPANY Direct Labor Variance Report ded Actual Rate standard Rate Price Variance Activa