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Note: This section is a continuation from Parts A and B of the comprehensive problem, Be sure you have cornpleted Parts A and B before

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Note: This section is a continuation from Parts A and B of the comprehensive problem, Be sure you have cornpleted Parts A and B before artempting Part C. You may have to refer back to data presented in Parts A and B as well as use answers from those parts when completing this section. Genuine Spice Inc. began operations on January 1 of the current year. The company produces 8-ounce bottles of hand and body lotion called Eternal Beiruty. The lotion is sold wholesale in 12 -bottle cases for $100 per case. There is a selling commission of $20 per case. The January direct materials, direct labor, and factory overhead costs are as follows: During September of the current vear, the controller was asked to perform variance analyses for August. The January operating data provided the standard pricen, rates, times, and quantities per case. There were 1,500 actual cases produced during August, which was 250 more cases than planned at the beginning of the manth. Actual data for August were as follows: The prices of the materials were different than standard doe to floctuatione in market prices. The atandard quantify of materials used oer case was an ideal standard. The Mcing Department used a higher orade labor daskification duriog the month, thul causing the actual labor rate to exceed standard, The Fillicg Department used a lower grade labor clasilicarion during the monthy thas causing the actual labor rate te be leis than standard. Enter subtracted amounts with minus sign. Enter a favorable varlahce as a negative number using a minus sign and an unfavorable variance as a positive number. 10. Determine and interpret the direct materlals price and quantity variances for the three materials, Enter the costs in dollars and cents (carried to three decimal places when required). 11. Determine and interpret the direct labor rate and time variances for the two departments. Do not round hours. Enter the costs in dollars and cents. Direct Labor Rate Variance: 14. The production volume of cases was planined at the beginning of August. The vakiances compare the actual cost and the standard coat of for the month. Thus, the standard cost must be based on the urits of actual oroduction

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