Problem 10-33 Direct-Material and Direct-Labor Variances (LO 10-1, 10-3) New Jersey Valve Company manufactured 7,800 units...

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Problem 10-33 Direct-Material and Direct-Labor Variances (LO 10-1, 10-3) New Jersey Valve Company manufactured 7,800 units during January of a control valve used by milk processors in its Camden plant. Records indicated the following: 3:44 Direct labor 40,000 hr. at $14.10 per hr. Direct material purchased Direct material used 29,000 lb. at $2.10 per lb. 27,300 lb. k t nces The control valve has the following standard prime costs: Direct material 4 lb. at $2.00 per lb. $ 8.00 Direct labor 5 hr. at $14.50 per hr. Standard prime cost per unit 72.50 $80.50 Required: 1. Prepare a schedule of standard production costs for January, based on actual production of 7,800 units. 2. For the month of January, compute the following variances. Problem 10-33 Direct-Material and Direct-Labor Variances (LO 10-1, 10-3) New Jersey Valve Company manufactured 7,800 units during January of a control valve used by milk processors in its Camden plant. Records indicated the following: 3:44 Direct labor 40,000 hr. at $14.10 per hr. Direct material purchased Direct material used 29,000 lb. at $2.10 per lb. 27,300 lb. k t nces The control valve has the following standard prime costs: Direct material 4 lb. at $2.00 per lb. $ 8.00 Direct labor 5 hr. at $14.50 per hr. Standard prime cost per unit 72.50 $80.50 Required: 1. Prepare a schedule of standard production costs for January, based on actual production of 7,800 units. 2. For the month of January, compute the following variances.