undefined

Mickley Corporation produces two products, Alpha6 and Zeta7, which pass through two operations, Sintering and Finishing. Each of the products uses two raw materials, X442 and Y661. The company uses a standard cost system, with the following standards for each product (on a per unit basis): Raw Material X442 Y661 2.5 kgs 2.5 litres 4.5 kgs 3.5 litres Standard Labour Time Sintering Finishing 2.20 hrs 6.90 hrs 8.30 hrs 1.20 hrs Alpha Zeta 7 Information relating to materials purchased and materials used in production during May follows: Purchase cost $39, eee $20,800 Purchases 15,000 kgs 16, eee litres Standard Price $2.40 per kg $1.40 per litre Used in Production 9,500 kg 14,000 litres X442 Y661 The following additional information is available: a. The company recognizes price variances when materials are purchased. b. The standard labour rate is $23.00 per hour in Sintering and $20.00 per hour in Finishing. c. During May, 1,300 direct labour-hours were worked in Sintering at a total labour cost of $30,550, and 2,950 direct labour-hours were worked in Finishing at a total labour cost of $64,900. d. Production during May was 1,600 Alpha6s and 1,300 Zeta7s. Required: 1. Complete the standard cost card for each product, showing the standard cost of direct materials and direct labour. (Round your answers to 2 decimal places.) Standard Quantity or Hours Standard Price or Rate Standard Cost kgs per kg litres per litre hours per hour hours per hour Alpha 6 Direct materials-X442 - Direct materials-Y661 Direct labour-Sintering Direct labour-Finishing Total Zeta 7 : Direct materials-X442 Direct materials-Y661 Direct labour-Sintering Direct labour-Finishing kgs per kg litres per litre hours per hour hours per hour Total 2. Compute the materials price and quantity variances for each material. (Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ie, zero variance).) Direct Materials VariancesMaterial X442 Materials price variance Materials quantity variance Direct Materials VariancesMaterial Y661: Materials price variance Materials quantity variance 3. Compute the labour rate and efficiency variances for each operation. (Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e, zero variance).) Direct Labour VariancesSintering: Labour rate variance Labour efficiency variance Direct Labour Variances-Finishing: Labour rate variance Labour efficiency variance