Question
Quinton Company has set the following standards for one unit of product: Direct material Quantity: 7.00 pounds per unit Price per pound: $10.10 per pound
Quinton Company has set the following standards for one unit of product: Direct material Quantity: 7.00 pounds per unit Price per pound: $10.10 per pound Direct labor Quantity: 6.60 hours per unit Rate per hour: $24.80 per hour Actual costs incurred in the production of 2,550 units were as follows: Direct material: $183,855 ($10.50 per pound) Direct labor: $419,099 ($24.10 per hour) All materials purchased were consumed during the period. Required: Compute the following variances. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).)
Direct-material price variance =
Direct-material quantity variance
Direct-labor rate variance
Direct-labor efficiency variance
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started