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Fortes Incorporated has provided the following data concerning one of the products in its standard cost system. Variable manufacturing overhead is applied to products on
Fortes Incorporated has provided the following data concerning one of the products in its standard cost system. Variable manufacturing overhead is applied to products on the basis of direct labor-hours. Standard Quantity or Hours per Unit Inputs of Output Standard Price or Rate Direct materials 8.5 ounces 5 6.69 per ounce Direct labor 0.6 hours $ 24.88 per hour Variable manufacturing overhead 0.6 hours $ 4.90 per hour The company has reported the following actual results for the product for April Actual output 6,100 units Row materials purchased 55,00 ounces Actual cost of raw materials purchased $ 303,010 Raw materials used in production 51.860 Ounces Actual direct labor hours 2,360 hours Actual direct labor cost $ 86,810 Actual variable overhead cost $ 15,12 Required: a Compute the materials price variance for April b. Compute the materials quantity variance for April c Compute the labor rate variance for April d. Compute the labor efficiency variance for April e Compute the variable overhead rate variance for April Compute the vanable overhead efficiency variance for April Indicate the effect of each variance by selecting "P" for favorable "U" for unfavorable, and "Mone" for no effect the zero variance). Input all amounts os positive volues.) Materials price variance Materials quantity variance 3. Labor rate variance H. Labor efficiency variance e. Variable overhead rate variance f. Variable overhead efficiency variance
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