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Please BOLD answers and show work!! Thanks :) XO-20 is an oil-based product used to remove rust on bolts and nuts that are stuck. Its
Please BOLD answers and show work!!
Thanks :)
XO-20 is an oil-based product used to remove rust on bolts and nuts that are stuck. Its accounting system uses standard costs. The standards per 0.6-liter can of solution call for 0.65 liters of material and 4 hours of labor. (0.65 liters of material are needed due to evaporation in the production process.) The standard cost per liter of material is $2.4. The standard cost per hour for labor is $12.20. Overhead is applied at the rate of $15.89 per can. Expected production is 7, 500 cans with fixed overhead per year of $41, 400 and variable overhead of $10.37 per unit (a 0.6-liter can). During 2015, 7, 750 cans were produced; 13, 100 liters of material were purchased at a cost of $58, 819; 10, 110 liters of material were used in production. The cost of direct labor Incurred in 2015 was $347, 126, based on an average actual wage rate of $10.27 per hour. Actual overhead for 2015 was $123,000. Determine the standard cost per unit. (Round answer to 2 decimal places, e.g. 15.25.) Calculate material, labor, and overhead variances. (Round answers to O decimal places, e.g. 125. Enter all variances as a positive number.)Step by Step Solution
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