Question
Question Content Area Direct Labor Variances Ada Clothes Company produced 12,000 units during April. The Cutting Department used 2,300 direct labor hours at an actual
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Question Content Area
Direct Labor Variances
Ada Clothes Company produced 12,000 units during April. The Cutting Department used 2,300 direct labor hours at an actual rate of $13.90 per hour. The Sewing Department used 3,800 direct labor hours at an actual rate of $13.60 per hour. Assume there were no work in process inventories in either department at the beginning or end of the month. The standard labor rate is $13.80. The standard labor time for the Cutting and Sewing departments is 0.2 hour and 0.3 hour per unit, respectively.
a. Determine the direct labor rate, direct labor time, and total direct labor cost variance for the (1) Cutting Department and (2) Sewing Department. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
Cutting Department Sewing Department Direct Labor Rate Variance $fill in the blank 1 FavorableUnfavorable
$fill in the blank 3 FavorableUnfavorable
Direct Labor Time Variance $fill in the blank 5 FavorableUnfavorable
$fill in the blank 7 FavorableUnfavorable
Total Direct Labor Cost Variance $fill in the blank 9 FavorableUnfavorable
$fill in the blank 11 FavorableUnfavorable
Question Content Area
Direct Labor Variances
Ada Clothes Company produced 12,000 units during April. The Cutting Department used 2,300 direct labor hours at an actual rate of $13.90 per hour. The Sewing Department used 3,800 direct labor hours at an actual rate of $13.60 per hour. Assume there were no work in process inventories in either department at the beginning or end of the month. The standard labor rate is $13.80. The standard labor time for the Cutting and Sewing departments is 0.2 hour and 0.3 hour per unit, respectively.
a. Determine the direct labor rate, direct labor time, and total direct labor cost variance for the (1) Cutting Department and (2) Sewing Department. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Cutting Department | Sewing Department | |
| Direct Labor Rate Variance | $fill in the blank 1 FavorableUnfavorable | $fill in the blank 3 FavorableUnfavorable |
| Direct Labor Time Variance | $fill in the blank 5 FavorableUnfavorable | $fill in the blank 7 FavorableUnfavorable |
| Total Direct Labor Cost Variance | $fill in the blank 9 FavorableUnfavorable | $fill in the blank 11 FavorableUnfavorable |
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Forensic And Investigative Accounting
Authors: G. Stevenson Smith D. Larry Crumbley, Edmund D. Fenton
10th Edition
0808056301, 9780808056300
