Marvel Parts, Inc., 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 has a standard cost system in use for all of its products. According to the standards that have been set for the seat covers the factory should work 1.230 hours each month to produce 2.050 sets of covers. The standard costs associated with this level of production are: . During August, the factory worked only 750 direct labor-hours and produced 1,500 sets of covers. The following actual costs were recorded during the month w At standard, each set of covers should require 1.80 yards of material. All of the materials purchased during the month were used in production Required 1. Compute the materials price and quantity variances for August. (Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None for no effectie, zaro variance).) 2. Compute the labor rate and efficiency variances for August. (Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effectie, zoro variance).) 3. Compute the variable overhead rate and efficiency variances for August. (Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and one for no effect (ie, zero variance):) Zer 11 instructionship Question 4 of 52 Save & Ext Sunt w 10.00 points Marvel Parts, Inc., manufactures to consoles. One of the company's products is a set of seat covers that can be used to fewly any small car. The company has a standard cost system in use for all of its products. According to the standards that have been set for the seat covers the factory should work 1,230 hours each month to produce 2.050 sets of covers. The standard costs associated with this level of production are: Per Set of Covers Direct materials $27,675 $13.50 Direct labor $ 3.810 420 Variable manufacturing and based on director hours) $ 4.920 240 520.10 During August, the factory worked only 750 direct labor hours and produced 1.500 sets of covers. The following actual costs were recorded during the month Direct maleri (3.900 yards Drect labor Variable manufacturing vehesd To $19.500 5 600 Pers of Cover $18.00 440 3.20 $20.60 Al standard chat of covers should require 10 yards of man. All of the materials purchased during the month were used in production Required 3. Compute the materiais price and quality ances for August (nput all amounts as positive values. Indicate the effect of each variance by selecting for favorable for unfavorable and an 515 MacBook Air auch set of covers should require 180 yards of material. All of the materials purchased during the month were used in production Required 1. Compute the materials price and quantity variances for August (Input all amounts as positive values indicate the effect of such warunca by selecting for favorable, fortevorable, and one for no effect more vurance Materias prie variance Material quantity wariance 2. Comut the labor rate and efficiency variances for August (nput all amounts as positive values Indicate the effect of each variance by selecting for overbe "U" for new and one for no effect. No varianca)) Labore variance Labor efficiency ance 15 MacBook Air ya 1 18 000 90 FS BGB 4 esc 53 12 3. Compute the variable overhead rate and efficiency variance for August (nput all amounts as positive values Indicate the effect of nach varlance by selecting for tworable," for utworubin, and None for no effect (Lezero variance) Variable overhead rate variance Variable overhead efficiency variance References eBook & Resources Worksheet Learning Onject 110 Computer malce and quantity wwice and 15 8 MacBook Air mm >II 910 DOD FY 20 000 FS FI F2 +
