Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Javon Company set standards of 3 hours of direct labor per unit at a rate of $16.00 per hour. During October, the company actually uses

image text in transcribed
image text in transcribed
Javon Company set standards of 3 hours of direct labor per unit at a rate of $16.00 per hour. During October, the company actually uses 19,200 hours of direct labor at a $311,040 total cost to produce 6,600 units. In November, the company uses 23,200 hours of direct labor at a $377,000 total cost to produce 7,000 units of product. AH=ActualHoursSH=StandardHoursAR=ActualRateSR=StandardRate (1) Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor varlance for each of these two months (2) Javon investigates variances of more than 5% of actual difect labor cost. Which direct labor variances will the company investigate further? Complete this question by entering your answers in the tabs below. Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor variance for each of these two months. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) (1) Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor variance for each of these two months. (2) Javon investigates variances of more than 5% of actual direct labor cost. Which direct labor variances will the company investigate further? Complete this question by entering your answers in the tabs below. Javon investigates variances of more than 5% of actual direct labor cost. Which direct labor variances will the company investigate further

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_2

Step: 3

blur-text-image_3

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

Wiley CIAexcel Exam Review 2018 Part 1 Internal Audit Basics

Authors: S. Rao Vallabhaneni

1st Edition

1119482569, 978-1119482567

More Books

Students also viewed these Accounting questions

Question

What are the types of malicious threats in Operating Systems?

Answered: 1 week ago

Question

assess the infl uence of national culture on the workplace

Answered: 1 week ago