Hecton Labs, iosorperoled, produces varioun chemical compounds foe industial use, One conpound, caled Fudes, is prepared ising an eltboeme distilng process. The rompany has develoeed stendard costs for one unit of Plidex, as follows: Buring Nowember, the folowing octovity was recorted related to the production of Fladex: 3. Maserias purchased, 10,000 ounces at a cost of $287,000 6. There was no begineing imentery of materials, hawevec, at the end of the month. 3.000 ounces of material remained in ending imventory. 2. The company employs 20 iab techricians to wok on the procuction of Fludek. During Novembec, they eoch worked an average of tho hours at an aneroge poy rate of $12.00 per hout. a. Verible manufacturing ovectiegd is assigned to Fudex on the basis of drect labor-hours. Variable manufocturing everhesd costs during Nowember totaled $4.700 e. During November, the company produced 3,400 ants of Fuctex. Required. 1 For direct materiab: a. Compute the price and quanty variances b. The materials were purchased from a new suppler who is culous to echer ino a long-term purchase contract. Would you recommend that the company sign the contraci? 2. For direct taboe a Compute the rate and eflielency vuriances. a Campute the rate and encelency variances the past, the 20 technicans employed in the production of Fludex combled of 4 senior technicians and 15 assistants. During Novembec, the company experimented with fower senior techricians and moee assistonts in order to reduce labor costs. Would you rocotitiend that the new labor max be continued? 3. Compurte the variable overhead rate and eficiency varionces. Complete this question by entering your annwers in the tabs below. Complete this question by entering your answers in the tabs below. For direct materiais, compute the price and quantity variances. (indicate the effect of each variance by selecting " F " for favorabie, "U" for unfavorable, and "None" for no effect (i.e, zero variance). Input all amounts as positive values.) For direct labor, compute the rate and efficiency variances. (Indicate the effect of each varianchoy selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Compute the variable overhead rate and efficiency variances. (Indicate the effect of each variance by selecting "F" for favorable, "U* for unfavorable, and "None" for no effect (he., zero variance). Input all amounts as positive values.) Hecton Labs, iosorperoled, produces varioun chemical compounds foe industial use, One conpound, caled Fudes, is prepared ising an eltboeme distilng process. The rompany has develoeed stendard costs for one unit of Plidex, as follows: Buring Nowember, the folowing octovity was recorted related to the production of Fladex: 3. Maserias purchased, 10,000 ounces at a cost of $287,000 6. There was no begineing imentery of materials, hawevec, at the end of the month. 3.000 ounces of material remained in ending imventory. 2. The company employs 20 iab techricians to wok on the procuction of Fludek. During Novembec, they eoch worked an average of tho hours at an aneroge poy rate of $12.00 per hout. a. Verible manufacturing ovectiegd is assigned to Fudex on the basis of drect labor-hours. Variable manufocturing everhesd costs during Nowember totaled $4.700 e. During November, the company produced 3,400 ants of Fuctex. Required. 1 For direct materiab: a. Compute the price and quanty variances b. The materials were purchased from a new suppler who is culous to echer ino a long-term purchase contract. Would you recommend that the company sign the contraci? 2. For direct taboe a Compute the rate and eflielency vuriances. a Campute the rate and encelency variances the past, the 20 technicans employed in the production of Fludex combled of 4 senior technicians and 15 assistants. During Novembec, the company experimented with fower senior techricians and moee assistonts in order to reduce labor costs. Would you rocotitiend that the new labor max be continued? 3. Compurte the variable overhead rate and eficiency varionces. Complete this question by entering your annwers in the tabs below. Complete this question by entering your answers in the tabs below. For direct materiais, compute the price and quantity variances. (indicate the effect of each variance by selecting " F " for favorabie, "U" for unfavorable, and "None" for no effect (i.e, zero variance). Input all amounts as positive values.) For direct labor, compute the rate and efficiency variances. (Indicate the effect of each varianchoy selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Compute the variable overhead rate and efficiency variances. (Indicate the effect of each variance by selecting "F" for favorable, "U* for unfavorable, and "None" for no effect (he., zero variance). Input all amounts as positive values.)
