Fundamentals of Cost Accounting 4ed Chapter 16 Problem 16-53

10-53. Manufacturing Clemson Company prepares us Inudeets on the basis of standard costs A responsibilitv is prepared monthly shemng the differences between master Fudeet and actual results Vananees are analyed and aported separately There are no materials inventories mtne eom Ganen4e The information relates to the current period: Standard costs (per unit of output) Direct materials, 2 gallons @ $6.00 per gallon . Direct labor, 4 hours @ $24 per hour . Factory overhead Variable (25% of direct labor cost). Total standard cost per unit.. Actual costs and activities for the month follow: $12 96 24 $132 Materials used Output ... Actual labor costs . Actual variable overhead .. Required 4,200 gallons at $5.40 per gallon 1 ,900 units 6,400 hours at $30 per hour $54,000 Prepare a cost variance analysis for the variable costs. 10-53. Manufacturing Clemson Company prepares us Inudeets on the basis of standard costs A responsibilitv is prepared monthly shemng the differences between master Fudeet and actual results Vananees are analyed and aported separately There are no materials inventories mtne eom Ganen4e The information relates to the current period: Standard costs (per unit of output) Direct materials, 2 gallons @ $6.00 per gallon . Direct labor, 4 hours @ $24 per hour . Factory overhead Variable (25% of direct labor cost). Total standard cost per unit.. Actual costs and activities for the month follow: $12 96 24 $132 Materials used Output ... Actual labor costs . Actual variable overhead .. Required 4,200 gallons at $5.40 per gallon 1 ,900 units 6,400 hours at $30 per hour $54,000 Prepare a cost variance analysis for the variable costs.