Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

Tharaldson Corporation makes a product with the following standard costs: Direct materials Direct labor Variable overhead Standard Quantity or Hours 5.8 ounces 0.9 hours 0.9

image text in transcribed

Tharaldson Corporation makes a product with the following standard costs: Direct materials Direct labor Variable overhead Standard Quantity or Hours 5.8 ounces 0.9 hours 0.9 hours Standard Price or Rate $ 3.00 per ounce $ 12.00 per hour $ 5.00 per hour Standard Cost Per Unit $ 17.40 $ 10.80 $ 4.50 The company reported the following results concerning this product in June. Originally budgeted output Actual output Raw materials used in production Purchases of raw materials Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost 3,800 units 3,400 units 22,000 ounces 22,500 ounces 6,500 hours $ 42,500 $ 13,800 $ 3,900 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The materials price variance for June is: Multiple Choice $25,000 F $25,000 U $2,025 F $2,025 U

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Accounting Principles

Authors: Larson Kermit, Tilly Jensen

Volume I, 14th Canadian Edition

978-0071051507

Students also viewed these Accounting questions