Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

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

image text in transcribed
image text in transcribed
image text in transcribed
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: Direct labor Direct material purchased Direct material used 40,200 hr. at $14.60 per hr. 30,000 lb. at $3.00 per lb. 22,100 lb. The control valve has the following standard prime costs: Direct material 3 lb. at $2.90 per lb. Direct labor 5 hr. at $15.10 per hr. Standard prime cost per unit $ 8.70 75.50 $84.20 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. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a schedule of standard production costs for January, based on actual production of 7,800 units NEW JERSEY VALVE COMPANY: CAMDEN PLANT The control valve has the following standard prime costs: Direct material 3 lb. at $2.90 per lb. Direct labor 5 hr. at $15.10 per hr. Standard prime cost per unit $ 8.70 75.50 $84.20 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. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a schedule of standard production costs for January, based on actual production of 7,800 units. NEW JERSEY VALVE COMPANY: CAMDEN PLANT Schedule of Standard Production Costs Based on 7,800 Units For the Month of January Standard Costs Direct material Direct labor Total standard production costs $ Revied 2 The control valve has the following standard prime costs: Direct material 3 lb. at $2.90 per lb. Direct labor 5 hr. at $15.10 per hr. Standard prime cost per unit $ 8.70 75.50 $84.20 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 Complete this question by entering your answers in the tabs below. Required 1 Required 2 For the month of January, compute the following variances. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "O" for no effect (le, zero variance).) a. Direct-material price variance b. Direct-material quantity variance c. Direct-material purchase price variance d. Direct labor rate variance e Direct-abor efficiency variance Unfavorable Favorable Unfavorable Favorable Unfavorable

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

Accounting Ethics Education Making Ethics Real

Authors: Alberto J. Costa, Margarida M. Pinheiro

1st Edition

1032019999, 9781032019994

More Books

Students also viewed these Accounting questions

Question

3-3 Identify and describe the three stages of perception.

Answered: 1 week ago

Question

=+ What is Pats EVwPI?

Answered: 1 week ago

Question

2. How is communication defi ned?

Answered: 1 week ago

Question

=+Understand the different types of personal brands in social media

Answered: 1 week ago