Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Kropf incorporated has provided the following data concerning one of the products in its standard cost system. Variable manufacturing overhead is applied to products on

image text in transcribed
Kropf incorporated has provided the following data concerning one of the products in its standard cost system. Variable manufacturing overhead is applied to products on the basis of direct labor-hours. Standard Quantity or Inputs Hours per Unit of Output Standard Price or Rate Direct materials 9.30 liters $ 3.90 per liter Direct labor 0.70 hours $ 25.70 per hour Variable manufacturing overhead 0.70 hours $ 7.80 per hour The company has reported the following actual results for the product for September: Actual output 11,500 units Raw materials purchased 107,900 liters Actual cost of raw materials purchased $ 979,500 Raw materials used in production 106,980 liters Actual direct labor hours 7,750 hours Actual direct labor cost $ 205,302 Actual variable overhead cost $ 55,414 Required: a. Compute the materials price variance for September b. Compute the materials quantity variance for September c Compute the labor rate variance for September d. Compute the labor efficiency variance for September e. Compute the variable overhead rate variance for September Compute the variable overhead efficiency variance for September (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e.. zero variance). Input all amounts as positive values.) a Materials price variance b. Materials quantity variance c. Laborrate vanance d. Labor efficiency variance e Variable overhead rate variance 1 Varable overhead officiency variance

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

Bank Stability, Sovereign Debt And Derivatives

Authors: Author

1st Edition

113733214X, 9781137332141

More Books

Students also viewed these Accounting questions

Question

What advantages does this tactic offer that other tactics do not?

Answered: 1 week ago

Question

What is the timeline for each tactic?

Answered: 1 week ago