Factors to be considered in setting labor standards include all of the following except lmpact of negotiations with labor unions. The learning effect a b. e. Results of engineers" time studies d The purchasing manager's estimate of suppliers' prices. 38. RHO Company began d capacity is sos anmsary 1 and produces a single prodact that sells for $10.25 per unit. ity is 80,000 units per year. The 80,000 units were produced and 70,000 units were sold during the year Manufacturing costs and selling and administrative expenses follow Raw materials Direct labor Factory overhead Selling and administrative Variable Costs $2.50 per unit produced 1.50 per unit produced 1.00 per unit produced 50 per unit sold $120.000 80,000 What is the standard cost of manufacturing a unit of product? a. $6.00 b. $6.50 c. $5.00 d. $5.50 by 39, When comput ing variances from standard costs, the difference between actual and standard price multiplied actual quantity yields: a. Combined price--quantity v b. Price variance c. Volume variance. d. Mix variance. 40. The materials quantity variance, in a standard cost system, is the a. Difference between the actual and standard quantities. Difference between the actual and standard quantities multiplied by the actual unit price by the standard unit price c. Difference between the actual quantity used and the actual quantity purchased multiplied d. Difference between the actual and standard quantities multiplied by the standard unit 41. What type of direct material variances for price and quantity will arise if the actual number of pounds of materials used exceeds standard pounds allowed but actual cost was less than standard cost? Quantity Price a. Favorable b. Unfavorable c. Favorable d. Unfavorable Favorable Favorable Unfavorable Unfavorable Thomas Company uses a standard cost system and recognizes the materials purchase price variance at the time materials are purchased. Information for raw materials for Product RBI for the month of October follows: Standard unit price Actual purchase price per unit Actual quantity purchased Actual quantity used Standard quantity allowed for actual production What is the materials quantity variance? $1.75 $1.65 4,000 units 3,900 units 3,800 units