SkyChes, Inc. prepares in-flight meals for a number of major airlines. One of the company's products is grilled salmon with new potatoes and mixed vegetables During the most recent week, the company prepared 7.200 of these meals using a 500 direct labor hours The company pold its direct labor workers a total of $31.500 for this work, or $900 per hour According to the standard cost ceed for this meal. It should require 0.50 direct labor-hours at a cost of $850 per hour Required: 1. What is the standerd labor-hours allowed (SH) to prepare 2200 meals 2 What is the standard labor cost allowed (SHSR) to prepare 7.200 meals? 3 What is the labor spending variance? 4 What is the labor rate variance and the labor efficiency variance (For requirements 3 and 4 Indicate the effect of each variance by selecting "P" for favorable. "U" for unfavorable, and "None" for no effect (... zero variance). Input all amounts os positive values. Do not round intermediate calculations.) 1 2 3 4 Standard labor hours Mowed Standard labor costalowed Labor spending variance Laborrate variance Labor efficiency vanance Dawson Toys, Ltd. produces a toy called the Maze The company has recently created a standard cost system to help control costs and has established the following standards for the Maze toy Direct matenals 6 microns per toy at $0 30 per micron Direct labor 12 hours per toy at $720 per hour During July, the company produced 4,600 Maze toys The toy's producton data for the month are as follows Direct Materials 73,000 microns were purchased at a cost of $0 27 per micron 38,500 of these microns were still in inventory at the end of the month Direct labor 5,920 direct labor-hours were worked at a cost of $46,768 Required: 1 Compute the following variances for July (Indicate the effect of each variance by selecting "P" for favorable. "U" for unfavorable. and "None" for no effect (.e., zero variance). Input all amounts as positive values. Do not round intermediate calculations. Round final answer to the nearest whole dollar amount) a The materials price and quantity variances The labor rate and efficiency variances 1a. Material price variance Material quantity vanance 1b. Labor rate variance Labor efficiency variance Logistics Solutions provides order fullment services for dot cor merchants. The company maintains warehouses that stock items carried by its dot.com clients When a client receives an order from a customer, the order is forwarded to Logics Solutions, which pulls me item from storage, packs it and ships it to the customer The company uses a predetermined variable overhead rate based on direct labor hours in the most recent month 175.000 items were shipped to customers using 7400 direct labor hours The company incurred a total of $24,790 in variable overhead costs According to the company's standards. 004 direct labor-hours are required to fulfill an order for one item and the variable overhead Tote is $340 per direct labor-hour Required: 1 What is the standard labor-hours allowed (SH) to ship 175.000 items to customers 2 What is the standard variable overhead cost allowed (SH X SR) to ship 175.000 items to customers? 3. What is the variable overhead spending variance? 4. What is the variable overhead rate variance and the variable overhead efficiency variance? (For requirements 3 and 4, indicate the effect of each variance by selecting "F" for favorable. "U" for unfavorable, and "Mone" for no effect (... zero variance). Input all amounts as positive values. Do not round intermediate calculations.) 1 Standard quantity of labor-hours allowed 2. Standard variable overhead cost allowed 3. Vanable overhead spending variance 4. Variable overhead rate variance Variable overhead efficiency variance
