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Traction Treads Tire Co. manufactures automobile tires. Standard costs and actual costs for direct materlals, direct labor, and factory overhead incurred for the manufacture of
Traction Treads Tire Co. manufactures automobile tires. Standard costs and actual costs for direct materlals, direct labor, and factory overhead incurred for the manufacture of 10,400 tires were as follows: Each tire requires 0.5 hour of direct labor. Required: a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. using a minus sign and an unfavorable variance as a positive number. b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative numbier using a minus aig and an unfavorable variance as a positive number. c. Determine the variable factory overhead controllable variance, fixed factory ovrhead volume variance, and total factory overhead cost variance, Enter a fivorabie variante as a negative number using a minus sign and an unfavorable variance as a positive number. Feedback Check My Work Unfavorable variances can be thought of as increasing costs (a debit). Favorable variances can be thought of as decreasing costs (a credit). production. the actual units produced
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