QUESTION 8

1. XYZ Company installs cable service for customers in Ashland, Ohio. In an attempt to better manage the material and labor cost on new cable installations, the company set the following standards for each cable installation:

   Information for Material and Labor Standard Variations
   Standard Per Unit Output:
   	Per Each Install		Expected Price
   Direct Material	1	Install Kit	$ 58.00
   Direct Labor	1.5	Hrs	$ 18.00

   At the end of January, XYZ company had the following results:

   Actual Results January:
   Number of Installs	350.00
   	Purchased & Used		Actual Price Per Unit
   Direct Material	355.00	Install Kits	$ 59.00
   	Actual Hours Used		Actual Rate Per Hour
   Direct Labor Hours	522.00	Hrs	$ 19.00

   Based on this information, the Material Price Variance is ________________.

   	A.	(355) Unfavorable
   	B.	(355) Favorable
   	C.	200 Unfavorable
   	D.	200 Favorable

Q9:

Based on the information in Question 8, the Material Quantity Variance is ________________.

	A.	(290) Unfavorable
	B.	270 Favorable
	C.	100 Favorable
	D.	(300) Unfavorable

Q10:

Based on the information in Question 8, the Labor Rate Variance is ________________.

	A.	500 Favorable
	B.	(322) Unfavorable
	C.	(122) Unfavorable
	D.	(522) Unfavorable

Q11:

1. Based on the information in Question 8, the Labor Quantity Variance is ________________.

   	A.	367 Favorable
   	B.	54 Favorable
   	C.	540 Favorable
   	D.	400 Favorable