Print Item Direct Materials, Direct Labor, and Factory Overhead Cost Variance Analysis Mackinaw Ine processes a base chemical Into plastic. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 70,000 units of product were as follows: Standard Costs Actual Costs Direct materials 217,000 lbs. at $5.20 214,800 lbs, at $5.00 Direct labor 17,500 hrs. at $16.50 17,900 hrs at $16.90 Factory overhead Rates per direct labor hr. based on 100% of normal Capacity of 18,260 direct Labor hrs. Variable cost, $4.30 $74,500 variable cost Fixed cost, $6.80 $124,168 fixed cost Each unit requires 0.25 hour of direct labor. Required: a. Determine the direct materials price variance, direct materials quantity wrance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number Direct Material Price Variance 42,960 Direct Materials Quantity Variance 11,440 Total Direct Materials Cost Variance 54,400 b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number, Direct Labor Rate Variance $ Direct Labor Time Variance Previous Next Email instructor Submit Test for Grading All work saved tabor Variable cost, $4.30 Fixed cost $6.80 $74,500 Variabino $124,168 and cost Each unit requires 0.25 hour of direct labor. Required: a. Determine the direct materials price varianon, direct materials quantity variance, and total direct materials cost variance, Inter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number Direct Material Price Variance 42,960 Direct Materials Quantity Variance 11,440 Total Direct Materials Cost Variance 54,400 b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using * minus sign and an unfavorable variance as a positive number Direct Labor Rate Variance Direct Labor Time Variance $ Total Direct Labor Cost Variance . Determine variable factory overhead controlable vanance, the fored factory overhead volume riance, and total factory overhead cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number Variable factory overhead controllable variance $ Fixed factory overhead volume variance Total factory overhead cost variance Previous Next >
