Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Brown Fish co. is producing a product X200. The standards call for 5.0 meters of a raw material that costs $19.10 per meter. Last

The Brown Fish co. is producing a product X200. The standards call for 5.0 meters of a raw material that costs $19.10 per meter. Last month, 2,700 meters of the raw material were purchased for $51,570. The actual output of the month was 460 units. A total of 200 meters of the raw material left unused during the month. The standards for labors call for 8.4 direct labor-hours per unit at $12.00 per direct labor-hour. Last month, 3,800 direct labor-hours worked for at a total direct labor wage cost of $41,020, Required:

a) What was the materials price and quantity variance for the month? Interpret the values.

b) What was the labor rate and efficiency variance for the month? Interpret the values.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

More Books

Students also viewed these Accounting questions

Question

What will you do or say to Anthony about this issue?

Answered: 1 week ago