In: Accounting

# Required information [The following information applies to the questions displayed below.] Antuan Company set the following...

## Required information

[The following information applies to the questions displayed below.]

Antuan Company set the following standard costs for one unit of its product.

 Direct materials (4.0 Ibs. @ $5.00 per Ib.)$ 20.00 Direct labor (1.7 hrs. @ $12.00 per hr.) 20.40 Overhead (1.7 hrs. @$18.50 per hr.) 31.45 Total standard cost $71.85 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units per month. Following are the company’s budgeted overhead costs per month at the 75% capacity level.

 Overhead Budget (75% Capacity) Variable overhead costs Indirect materials $15,000 Indirect labor 75,000 Power 15,000 Repairs and maintenance 30,000 Total variable overhead costs$ 135,000 Fixed overhead costs Depreciation—Building 24,000 Depreciation—Machinery 70,000 Taxes and insurance 17,000 Supervision 225,750 Total fixed overhead costs 336,750 Total overhead costs $471,750 The company incurred the following actual costs when it operated at 75% of capacity in October.  Direct materials (60,500 Ibs. @$5.10 per lb.) $308,550 Direct labor (21,000 hrs. @$12.20 per hr.) 256,200 Overhead costs Indirect materials $41,150 Indirect labor 176,350 Power 17,250 Repairs and maintenance 34,500 Depreciation—Building 24,000 Depreciation—Machinery 94,500 Taxes and insurance 15,300 Supervision 225,750 628,800 Total costs$ 1,193,550

rev: 03_28_2018_QC_CS-122864

3. Compute the direct materials cost variance, including its price and quantity variances.

AQ = Actual Quantity
SQ = Standard Quantity
AP = Actual Price
SP = Standard Price

## Related Solutions

##### Required information [The following information applies to the questions displayed below.] Antuan Company set the following...
Required information [The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Direct materials (5.0 Ibs. @ $4.00 per Ib.)$ 20.00 Direct labor (2.0 hrs. @ $14.00 per hr.) 28.00 Overhead (2.0 hrs. @$18.50 per hr.) 37.00 Total standard cost $85.00 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units...
##### Required information [The following information applies to the questions displayed below.] Antuan Company set the following...
Required information [The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Direct materials (5.0 Ibs. @ $5.00 per Ib.)$ 25.00 Direct labor (1.8 hrs. @ $13.00 per hr.) 23.40 Overhead (1.8 hrs. @$18.50 per hr.) 33.30 Total standard cost $81.70 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units...
##### [The following information applies to the questions displayed below.] Antuan Company set the following standard costs...
[The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Direct materials (4.0 Ibs. @ $5.00 per Ib.)$ 20.00 Direct labor (1.8 hrs. @ $10.00 per hr.) 18.00 Overhead (1.8 hrs. @$18.50 per hr.) 33.30 Total standard cost $71.30 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units per month....
##### [The following information applies to the questions displayed below.] Antuan Company set the following standard costs...
[The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Direct materials (4.0 Ibs. @ $4.00 per Ib.)$ 16.00 Direct labor (1.9 hrs. @ $12.00 per hr.) 22.80 Overhead (1.9 hrs. @$18.50 per hr.) 35.15 Total standard cost $73.95 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units per month....
##### [The following information applies to the questions displayed below.] Antuan Company set the following standard costs...
[The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Direct materials (4.0 Ibs. @ $4.00 per Ib.)$ 16.00 Direct labor (1.7 hrs. @ $13.00 per hr.) 22.10 Overhead (1.7 hrs. @$18.50 per hr.) 31.45 Total standard cost $69.55 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units per month....
##### [The following information applies to the questions displayed below.] Antuan Company set the following standard costs...
[The following information applies to the questions displayed below.] Antuan Company set the following standard costs for one unit of its product. Direct materials (3.0 Ibs. @ $5.00 per Ib.)$ 15.00 Direct labor (1.8 hrs. @ $13.00 per hr.) 23.40 Overhead (1.8 hrs. @$18.50 per hr.) 33.30 Total standard cost $71.70 The predetermined overhead rate ($18.50 per direct labor hour) is based on an expected volume of 75% of the factory’s capacity of 20,000 units per month....
##### Required information [The following information applies to the questions displayed below.] Trico Company set the following...
Required information [The following information applies to the questions displayed below.] Trico Company set the following standard unit costs for its single product. Direct materials (30 Ibs. @ $4 per Ib.)$ 120.00 Direct labor (5 hrs. @ $14 per hr.) 70.00 Factory overhead—Variable (5 hrs. @$8 per hr.) 40.00 Factory overhead—Fixed (5 hrs. @ $10 per hr.) 50.00 Total standard cost$ 280.00 The predetermined overhead rate is based on a planned operating volume of 80% of the...
##### Required information [The following information applies to the questions displayed below.] Trico Company set the following...
Required information [The following information applies to the questions displayed below.] Trico Company set the following standard unit costs for its single product. Direct materials (30 Ibs. @ $5.10 per Ib.)$ 153.00 Direct labor (6 hrs. @ $15 per hr.) 90.00 Factory overhead—variable (6 hrs. @$7 per hr.) 42.00 Factory overhead—fixed (6 hrs. @ $11 per hr.) 66.00 Total standard cost$ 351.00 The predetermined overhead rate is based on a planned operating volume of 80% of the...