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Koontz Company manufactures a number of products. The standards relating to one of these products are shown below, along with actual cost data for May Standard Cost per Actual Cost per Unit Unit Direct materials: standard: 1.90 feet at $4.80 per foot Actual: 1.85 feet at $5.20 per foot 9.12 $9.62 Direct labor: standard: 1.45 hours at $20.00 per hour Actual: 1.50 hours at $19.50 per hour 29.00 29.25 Variable overhead: Standard: 1.45 hours at $10.00 per hour Actual: 1.50 hours at $9.60 per hour 14.50 14.40 Total cost per unit $52.62 53.27 Excess of actual cost over standard cost per unit 0.65 The production superintendent was pleased when he saw this report and commented: "This $0.65 excess cost is well within the 4 percent limit management has set for acceptable variances. It's obvious that there's not much to worry about with this product." Actual production for the month was 19,500 units. Variable overhead cost is assigned to products on the basis of direct labor-hours There were no beginning or ending inventories of materials Required: 1. Compute the following variances for May: a. Materials price and quantity variances b. Labor rate and efficiency variances c. Variable overhead rate and efficiency variances 2. How much of the $0.65 excess unit cost is traceable to each of the variances computed in (1 above 3. How much of the $0.65 excess unit cost is traceable to apparent inefficient use of labor time? Required 1Required 2 Required 3 1a. Compute the following variances for May, materials price and quantity variances. 1b. Compute the following variances for May, labor rate and efficiency variances 1c. Compute the following variances for May, variable overhead rate and efficiency variances. (Indicate the effect of each variance by selecting "F" for favorable, "U for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Show lessA 1a. Materials price variance Materials quantity variance 1b. Labor rate variance Labor efficiency variance 1c. Variable overhead rate variance Variable overhead efficiency variance Required 1 Required 2Required 3 How much of the $0.65 excess unit cost is traceable to each of the variances computed in (1) above. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Round your answers to 2 decimal places.) Materials Price variance Quantity variance Labor: Rate variance Efficiency variance Variable overhead: Rate variance Efficiency variance Excess of actual over standard cost per unit Required 1 Required 2 Required 3 How much of the $0.65 excess unit cost is traceable to apparent inefficient use of labor time? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Do not round intermediate calculations. Round your final answers to 2 decimal places.) Excess of actual over standard cost per unit Less portion attributable to labor inefficiency: Labor efficiency variance Variable overhead efficiency variance Portion due to other variances