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The following data are given for Stringer Company: Budgeted production 934 units Actual production 1,079 units Materials: Standard price per ounce $1.93 Standard ounces per
The following data are given for Stringer Company:
Budgeted production | 934 units |
Actual production | 1,079 units |
Materials: | |
Standard price per ounce | $1.93 |
Standard ounces per completed unit | 12 |
Actual ounces purchased and used in production | 13,336 |
Actual price paid for materials | $27,339 |
Labor: | |
Standard hourly labor rate | $14.99 per hour |
Standard hours allowed per completed unit | 4.1 |
Actual labor hours worked | 5,556.85 |
Actual total labor costs | $84,742 |
Overhead: | |
Actual and budgeted fixed overhead | $1,118,000 |
Standard variable overhead rate | $25.00 per standard labor hour |
Actual variable overhead costs | $155,592 |
Overhead is applied on standard labor hours. |
Do not round interim calculations. Round your final answer to the nearest dollar.
The direct materials price variance is
a.$1,600 favorable
b.$4,001 favorable
c.$1,600 unfavorable
d.$4,001 unfavorable
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