The following labor standards have been established for a particular product:

Standard labor-hours per unit of output		8.4	hours
Standard labor rate	$	12.20	per hour

The following data pertain to operations concerning the product for the last month:

Actual hours worked		6,200	hours
Actual total labor cost	$	73,160
Actual output		950	units

What is the labor efficiency variance for the month?

Multiple Choice

• $24,196 F

• $24,196 U

• $21,004 F

• $21,716 F

Piper Corporations standards call for 2,875 direct labor-hours to produce 1,150 units of product. During October the company worked 1,050 direct labor-hours and produced 900 units. The standard hours allowed for October would be: (Round your intermediate calculations to 1 decimal place.)

Multiple Choice

• 2,875 hours

• 1,050 hours

• 2,250 hours

• 1,975 hours

The following standards for variable manufacturing overhead have been established for a company that makes only one product:

Standard hours per unit of output		6.2	hours
Standard variable overhead rate	$	12.60	per hour

The following data pertain to operations for the last month:

Actual hours		2,625	hours
Actual total variable manufacturing overhead cost	$	33,715
Actual output		200	units

What is the variable overhead efficiency variance for the month?

Multiple Choice

• $18,091 U

• $17,451 U

• $640 U

• $15,624 F

Gipple Corporation makes a product that uses a material with the quantity standard of 7.8 grams per unit of output and the price standard of $6.50 per gram. In January the company produced 3,900 units using 25,370 grams of the direct material. During the month the company purchased 27,900 grams of the direct material at $6.70 per gram. The direct materials purchases variance is computed when the materials are purchased.

The materials price variance for January is:

Multiple Choice

• $6,084 F

• $5,580 U

• $6,084 U

• $5,580 F