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Mannhatten Peanuts Limited buys raw nuts and processes them for re-sale. The follow standards apply to labour Labour Hrs Mix Pay rate Std Cost Shelling
Mannhatten Peanuts Limited buys raw nuts and processes them for re-sale. | |||||
The follow standards apply to labour | |||||
Labour | Hrs | Mix | Pay rate | Std Cost | |
Shelling | 3 | 0.6 | 8 | 24 | |
Mixing | 2 | 0.4 | 15 | 30 | |
Total | 5 | 54 | |||
The above labour is expect to yield | 120 | kgs | |||
Mannhatten processed 1,600kg of nuts and produced the following actual results: | |||||
Hrs | |||||
Shelling | 20 | ||||
Mixing | 30 | ||||
50 | |||||
Output | 1300 | kgs |
Calculate the labour mix variance.
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