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ext source Daley, Inc. is a privately held furniture manufacturer. For August 2017 Datey had to folowing standards for one of its products, a wicker

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ext source Daley, Inc. is a privately held furniture manufacturer. For August 2017 Datey had to folowing standards for one of its products, a wicker chair (Click the foon to view the standards per chair) The following data were compiled regarding actual performance actual output uruts (chairs peoduoed, 2,500 square metres of input purchased and used. 7. 200. price per square metre. 55.60; direct manufacturing labour costs, 59,540 actual hours of input, 900, labour price por hour, 510.60 Required udy Requirement 1. Show computations of price and efficiency variances for direct materials and direct manufacturing labour Now corputo the prion and officiency varionom for direct materiais and direct manufacturing labour Labut cach variance an favourable (5) or unfavourablo (U). Price Efficiency variances variances Direct materials Direct manufacturing labour Reauirement 2. Sumon 9.700 suare metres of materials were exarchased fat 8500 personer met even thoanh only 7 200 are metres were used Soo Choose from any list or enter any number in the input fields and then continue to the next question held furniture manufacturer. For August 2017. Daley had the following standards for one of its products, a wicker chair: w the standards per chair.) compiled regi t purchased and use direct manut Data Table omputations and efficiency Standards per Chair per square 3 square metres of input at $ 5.40 metre bble (F) or unfavour Direct materials Direct manufacturing labour va 0.5 hour of input at $ 10.50 per hour ur Print Done 9.700 square metres of materials were purchased at $5.60 ner sauare metre) even though only 7 200 square metres were Inter any number in the input fields and then continue to the next question niture manufacturer. For August 2017, Daley had the following standards for one of its products, a wich anda reg i Required manul ons ab ency 1. Show computations of price and efficiency variances for direct materials and direct manufacturing labour. Give a plausible explanation of why each variance occurred. 2. Suppose 9,700 square metres of materials were purchased (at $5.60 per square metre), even though only 7,200 square metres were used. Suppose further that variances are identified at their most timely control point; accordingly, direct materials price variances are isolated and traced at the time of purchase to the purchasing department rather than to the production department. Compute the price and efficiency variances under this approach. va Print Done saua pu ny number in the input fields and then continue to the next question. ce Daley, Inc. is a privately held furniture manufacturer For August 2017, Daley had the following standards for one of its products, a wicker chait. Click the icon to view the standards per chair) The following data were compiled regarding actual performance actual output unts (chairs, produced, 2500 square metres of input purchased and used. 7.200, price per square metro, $5.00 direct manufacturing labour costs, 59,540; actual hours of input, 000 labour price per hour, 510 60 Required Direct manufacturing labour Requirement 2. Suppose 9,700 square metres of materials wero purchased (at $5.60 per square metre), oven though only 7,200 square metres were used Supporo further that variances are identified at their most timely control point, accordingly, direct materials price variances are solated and traced at the time of purchase to the purchasing department rather than to the production department Compute the price and officiency variances under this approach Now compute the direct material price and efficiency variancen. Label each variance as favourable (F) or unfavourable (U) Price Efficiency variance variance Direct materials Choose from any ist or enter any number in the input fields and then continue to the next

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