Standard Direct Materials Cost per Unit Crazy Delicious Inc. produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (3,440 bars) are as follows: Ingredient Quantity Price Cocoa 660 lbs. $0.30 per Ib. Sugar 180 lbs. $0.60 per lb. Milk 150 gal. $1.40 per gal. Determine the standard direct materials cost per bar of chocolate. If required, round to the nearest cent. per bar Standard Product Cost Atlas Furniture Company manufactures designer home furniture. Atlas uses a standard cost system. The direct labor, direct materials, and factory overhead standards for an unfinished dining room table are as follows: Direct labor standard rate $22.00 per hr. standard time per unit 2.5 hrs. Direct materials (oak): standard price $10.00 per bd. ft standard quantity 18 bd.ft Variable factory overhead: standard rate $2.40 per direct labor hr. Fixed factory overhead: standard rate $0.80 per direct labor hr. a. Determine the standard cost per dining room table. If required, round your answer to two decimal places. per table Using this principle, cost deviations from standards can be b. A standard cost system provides Atias Fumiture Company's management a cost control tool using the principle of investigated and corrected, Direct Materials Variances The following data relate to the direct materials cost for the production of 2,300 automobile tires: Actual: 49,600 lbs. at $2 per Ib. Standard: 48,600 lbs. at $1.95 per lb. a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Materials Price Variance $ Direct Materials Quantity Variance $ Total Direct Materials Cost Variance $ b. The direct materials price variance should normally be reported to the efficiencies, the variance would be reported to the variance should be reported to the When lower amounts of direct materials are used because of production When the favorable use of raw materials is caused by the purchase of higher-quality raw materials, the