PART 6 How many Lamps were completed? Standard Job Order Costing - Note: Show favorable variances as negative numbers Variance Analysis What was the total material price variance for the Lamp Kits purchased? Special order lamps are manufactured in division S. Because of the precise nature of the process a standard cost system has been developed. The following standards are used for the special orders: What was the material usage variance for Lamp Kits? Standards Lamp Kits $ 16,000000 per lamp Direct Labor 2.400000 per lamp (4 lamps/hr.) Variable Overhead 0.250000 per lamp (4 lamps/hr.) "Fixed Overhead 10.000000 per lamp Total $ 28.650000 What was the direct labor efficiency variance ? "Fixed overhead is based on expected production of 4,011 customized lamps each month. To keep records of the actual cost of a job, a Job Order Cost System has been developed. Entries What was the direct labor rate variance? are made to the Job Order System at actual cost (overhead is applied based on actual labor hours) while entries are made to the accounting system at standard. Variance analysis is used to analyze the differences. What was the variable overhead efficiency variance ? Job Order Costing Section On January 1, 20x2, Division S began Job 1101 for the Client, THE BIG CHILDREN STORE. The job called for 4,000 customized lamps. The following set of transactions occurred from January 5 until the job was completed: What was the variable OH spending variance ? 5-Jan Purchased 4,125 Lamp Kits @ $16.60 per kit. 9-Jan 4,175 sets of Lamp Kits were requisitioned. 17-Jan Payroll of 640 Direct Labor Hours @ $9.75 per hour. 30-Jan Payroll of 690 Direct Labor Hours @ $10.00 per hour. 30-Jan 3,989 lamps were completed and shipped. All materials requisitioned were used or scrapped. Month End Overhead Information Actual Variable Overhead $ 1,250.20 What is the fixed OH volume (denominator) variance? Actual Fixed Overhead 41,373.45 What is the fixed OH spending variance