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Heavy Products, Inc. developed standard costs for direct material and direct labor. In 2017, All estimated the following standard costs for one of their major
Heavy Products, Inc. developed standard costs for direct material and direct labor. In 2017, All estimated the following standard costs for one of their major products, the 10 gallon plastic container. Budgeted quantity. 0.6 pounds Budgeted price $50 per pound Direct materials $35 per hour Direct labor 0.25 hours During June, Heavy Products produced and sold 17,000 containers using 1,100 pounds of direct materials at an average cost per pound of $54 and 10,200 direct manufacturing labor hours at an average wage of $36.56 per hour. The direct manufacturing labor price variance during June is A. $4,400 unfavorable B. $15,912 unfavorable C. $15,912 favorable O D. $450,600 unfavorable
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