Use the following information for the Exercises below.

Skip to question

[The following information applies to the questions displayed below.] A manufactured product has the following information for June.

	Standard	Actual
Direct materials	(6 lbs. @ $8 per lb.)		48,400	lbs. @ $8.10 per lb.
Direct labor	(3 hrs. @ $17 per hr.)		23,800	hrs. @ $17.40 per hr.
Overhead	(3 hrs. @ $12 per hr.)	$	294,000
Units manufactured			8,000

Exercise 23-8 Standard unit cost; total cost variance LO C2

(1) Compute the standard cost per unit.

Direct materials
Direct labor
Overhead
Total	$0

(2) Compute the total cost variance for June. Indicate whether the cost variance is favorable or unfavorable.

Total cost variance