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The following data are given for Stringer Company: Budgeted production 909 units Actual production 1,040 units Materials: Standard price per ounce $1.79 Standard ounces per
The following data are given for Stringer Company:
Budgeted production | 909 units |
Actual production | 1,040 units |
Materials: | |
Standard price per ounce | $1.79 |
Standard ounces per completed unit | 11 |
Actual ounces purchased and used in production | 11,783 |
Actual price paid for materials | $24,155 |
Labor: | |
Standard hourly labor rate | $14.77 per hour |
Standard hours allowed per completed unit | 5.0 |
Actual labor hours worked | 5,356 |
Actual total labor costs | $81,679 |
Overhead: | |
Actual and budgeted fixed overhead | $1,107,000 |
Standard variable overhead rate | $26.00 per standard labor hour |
Actual variable overhead costs | $149,968 |
Overhead is applied on standard labor hours. |
The direct materials quantity variance is
a.3,063.43 favorable
b.3,063.43 unfavorable
c.613.97 unfavorable
d.613.97 favorable
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