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Sunland's Style manufactures dining room tables for both home and restaurant locations. Charles Joseph, the company's controller, developed the following standard costs for each
Sunland's Style manufactures dining room tables for both home and restaurant locations. Charles Joseph, the company's controller, developed the following standard costs for each 5-foot table. Ms. Joseph developed these standards based on the company manufacturing 1,280 tables per month. Standard Price Standard Quantity Standard Cost Direct materials: $50.00 per linear foot 5.00 linear feet $250.00 Direct labor 18.50 per DLH 12.00 DLH 222.00 Variable overhead 16.20 per DLH 12.00 DLH 194.40 Fixed overhead 28.60 per DLH 12.00 DLH 343.20 Total standard cost per table $1,009.60 The company actually manufactured 1,180 tables during the month. . 5,980 linear feet of direct materials were purchased during the month at a total cost of $258,336. . 5,480 linear feet of direct materials were used to manufacture the tables. . 14,480 direct labor hours were worked at a total cost of $242,640. . Actual variable overhead was $245,400. Actual fixed overhead was $411,300.
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