Trico Company set the following standard unit costs for its single product Direct materials (30 Ibs $5 10 per Ib ) $ 153 00 Direct labor (8 hrs $14 per hr ) 112 00 Factory overheadvariable (8 hrs $6 per hr ) 48 00 Factory overheadfixed (8 hrs $12 per hr ) 96 00 Total standard cost $ 409 00 The predetermined overhead rate is based on a planned operating volume of 80 of the productive capacity of 66,000 units per quarter The following flexible budget information is available Operating Levels 70 80 90 Production in units 46,200 52,800 59,400 Standard direct labor hours 369,600 422,400 475,200 Budgeted overhead Fixed factory overhead $ 5,068,800 $ 5,068,800 $ 5,068,800 Variable factory overhead $ 2,217,600 $ 2,534,400 $ 2,851,200 During the current quarter, the company operated at 90 of capacity and produced 59,400 units of product actual direct labor totaled 369,400 hours Units produced were assigned the following standard costs Direct materials (1,782,000 Ibs $5 10 per Ib ) $ 9,088,200 Direct labor (475,200 hrs $14 per hr ) 6,652,800 Factory overhead (475,200 hrs $18 per hr ) 8,553,600 Total standard cost $ 24,294,600 Actual costs incurred during the current quarter follow Direct materials (1,387,000 Ibs $6 70 per lb ) $ 9,292,900 Direct labor (369,400 hrs $11 60 per hr ) 4,285,040 Fixed factory overhead costs 3,196,500 Variable factory overhead costs 3,466,700 Total actual costs $ 20,241,140 Chs 22, 23, 25, App C 100 pts Saved Help Direct labor (369,400 hrs $11 60 per hr ) Pixed factory overhead costs Variable factory overhead costs Total actual costs 4,285,040 3,196,500 3 466, 700 $20,241,140 Required 1 Compute the direct materials cost variance, including its price and quantity variances Actual Cost Cost Actual Actual rice $ 9 38 2 Compute the direct labor cost variance, including its rate and efficiency variances 2 Compute the direct labor cost variance, including its rate and efficiency variances K Prey 2 3of 6 Next 18 64 t of 2 3 Compute the overhead controllable and volume variances llable Variance Actual overhead Budgeted overhead Controllable variance Flxed overhead volume variance Budgeted fixed overhead Fixed overhead cost applied Fixed overhead volume variance

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Trico Company set the following standard unit costs for its single product. Direct materials (30 Ibs. @ $5.10 per Ib.) $ 153.00 Direct labor (8

Trico Company set the following standard unit costs for its single product.


Direct materials (30 Ibs. @ $5.10 per Ib.)	$	153.00
Direct labor (8 hrs. @ $14 per hr.)		112.00
Factory overheadvariable (8 hrs. @ $6 per hr.)		48.00
Factory overheadfixed (8 hrs. @ $12 per hr.)		96.00
Total standard cost	$	409.00

The predetermined overhead rate is based on a planned operating volume of 80% of the productive capacity of 66,000 units per quarter. The following flexible budget information is available.

	Operating Levels
		70%		80%		90%
Production in units		46,200		52,800		59,400
Standard direct labor hours		369,600		422,400		475,200
Budgeted overhead
Fixed factory overhead	$	5,068,800	$	5,068,800	$	5,068,800
Variable factory overhead	$	2,217,600	$	2,534,400	$	2,851,200

During the current quarter, the company operated at 90% of capacity and produced 59,400 units of product; actual direct labor totaled 369,400 hours. Units produced were assigned the following standard costs.


Direct materials (1,782,000 Ibs. @ $5.10 per Ib.)	$	9,088,200
Direct labor (475,200 hrs. @ $14 per hr.)		6,652,800
Factory overhead (475,200 hrs. @ $18 per hr.)		8,553,600
Total standard cost	$	24,294,600

Actual costs incurred during the current quarter follow.


Direct materials (1,387,000 Ibs. @ $6.70 per lb.)	$	9,292,900
Direct labor (369,400 hrs. @ $11.60 per hr.)		4,285,040
Fixed factory overhead costs		3,196,500
Variable factory overhead costs		3,466,700
Total actual costs	$	20,241,140

Chs 22, 23, 25, App C-100 pts Saved Help Direct labor (369,400 hrs. $11.60 per hr.) Pixed factory overhead costs Variable factory overhead costs Total actual costs 4,285,040 3,196,500 3.466, 700 $20,241,140 Required: 1. Compute the direct materials cost variance, including its price and quantity variances. Actual Cost Cost Actual Actual rice $ 9.38 2. Compute the direct labor cost variance, including its rate and efficiency variances. 2. Compute the direct labor cost variance, including its rate and efficiency variances. K Prey 2 3of 6 Next > 18 64 t of 2 3. Compute the overhead controllable and volume variances. llable Variance Actual overhead Budgeted overhead Controllable variance Flxed overhead volume variance Budgeted fixed overhead Fixed overhead cost applied Fixed overhead volume variance