Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

PLEASE HELP WILL THUMBS UP!!! Newport Sports produces Tank tops. The company developed the following standard costs for a Tank top: Cost per Metres Metre

PLEASE HELP WILL THUMBS UP!!!
image text in transcribed
image text in transcribed
Newport Sports produces Tank tops. The company developed the following standard costs for a Tank top: Cost per Metres Metre $1.40 Total Cost $1.75 Direct materials 1.25 The actual results for the year are: Units produced 40,000 Direct materials purchased and used (metres) 60,000 Direct materials cost per metre $1.20 Required: Calculate the direct material price and usage (also called efficiency) variances and use your solution to answer the following questions. NOTE: Please enter all variances as positive numbers. The amount of the direct material price variance is $ A Indicate if the direct material price variance is favourable (enter the letter F) or unfavourable (enter the letters UF). A The amount of the direct material usage variance (also called efficiency variance) is $. A/ Indicate if the direct material usage variance is favourable (enter the letter F) or unfavourable (enter the letters UF)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting For Decision Makers

Authors: Mark DeFond

2nd Edition

1618533142, 9781618533142

More Books

Students also viewed these Accounting questions