Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below.

image text in transcribed
image text in transcribed
image text in transcribed
Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below. Direct materiale Dit labor Qui dante be 6:40 ponde 3.00 per pound 311.00 hour 010.10 14.40 During the most recent month, the following activity was recorded a. Twelve thousand four hundred pounds of material were purchased at a cost of $2.90 per pound b. The company produced only 1240 units, using 11160 pounds of material (The rest of the material purchased remained in row 1.596 hours of direct labor time were recorded at a total labor cost of $7152. Required Compute the materials price and quantity variances for the month (Indicate the effect of each variance by selecting "P" for favorable for unfavorable and "None for no effect (le, ero variance), Input all amounts as positive values. Do not round Intermediate calculation) MacBook 30 888 $ 4 % 5 Co 8 7 8 9 0 W E R T Y U 0 D F G H J Saved 10 Intro Huron Company produces a commercial cleaning compound known as Zoom. The unit of Zoom are given below: Standard Quantity or Hours 6.40 pounds 0.40 hours Standard Price or Rate $ 3.00 per pound $11.00 per hour Standard Cose $19.20 $ 4.40 Direct materials Direct labor During the most recent month, the following activity was recorded: a. Twelve thousand four hundred pounds of material were purchased at a cost of $ b. The company produced only 1,240 units, using 11,160 pounds of material. (The res materials inventory.) c. 596 hours of direct labor time were recorded at a total labor cost of $7,152. Required: Compute the materials price and quantity variances for the month. (Indicate the effe favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input Intermediate calculations.) Materials price variance Materials quantity variance Prey 11 of 1 ing compound known as Zoom. The direct materials and direct labor standards for Standard Price or Rate $ 3.00 per pound $11.00 per hour Standard Cost $19.20 $ 4.40 ctivity was recorded: material were purchased at a cost of $2.90 per pound. sing 11,160 pounds of material. (The rest of the material purchased remained in raw led at a total labor cost of $7152. riances for the month. (Indicate the effect of each variance by selecting "E" for for no effect (.e., zero variance). Input all amounts as positive values. Do not round

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Data Analysis And Sampling Simplified A Practical Guide For Internal Auditors

Authors: Donald A. Dickie PhD

1st Edition

1634540611, 978-1634540612

More Books

Students also viewed these Accounting questions