Answered step by step
Verified Expert Solution
Question
1 Approved Answer
ik my answer is wrong please help Marvel Parts, Incorporated, manufactures auto accessories. One of the company's products is a set of seat covers that
ik my answer is wrong please help
Marvel Parts, Incorporated, manufactures auto accessories. One of the company's products is a set of seat covers that can be adjusted to fit nearly any small car. The company uses a standard cost system for all of its products. According to the standards that have been set for the seat covers, the factory should work 2,850 hours each month to produce 1,900 sets of covers. The standard costs associated with this level of production are: Direct materials Direct labor Variable manufacturing overhead (based on direct labor-hours) Direct materials (12,000 yards) Direct labor Variable manufacturing overhead Total $ 42,560. $ 51,300 $ 6,840 During August, the factory worked only 2,800 direct labor-hours and produced 2,000 sets of covers. The following actual costs were recorded during the month: Per Set of Covers $ 22.40 27.00 Total $ 45,600 $ 49,000 $ 7,000 1. Materials price variance 1. Materials quantity variance 2. Labor rate variance 2. Labor efficiency variance 3. Variable overhead rate variance 3. Variable overhead efficiency variance 3.60 $ 53.00 At standard, each set of covers should require 5.6 yards of material. All of the materials purchased during the month were used in production. Per Set of Covers Required: 1. Compute the materials price and quantity variances for August. 2. Compute the labor rate and efficiency variances for August 3. Compute the variable overhead rate and efficiency variances for August. $ 22.80 24.50 3.50 $ 50.80 (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero varlance). Input all amounts as positive values.) 800 U 2,240 F 3,000 F Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started