Bowie Sporting Goods manufactures sleeping bags. The manufacturing standards per sleeping bag, based on 5,000 sleeping...

Bowie Sporting Goods manufactures sleeping bags. The manufacturing standards per sleeping bag, based on 5,000 sleeping bags per month, are as follows:

Direct material of 4.00 yards at $5.00 per yard

Direct labor of 3.00 hours at $19.00 per hour

Overhead applied per sleeping bag at $18

In the month of April, the company actually produced 5,100 sleeping bags using 26,800 yards of material at a cost of $5.50 per yard. The labor used was 12,250 hours at an average rate of $20.50 per hour. The actual overhead spending was $96,200. Determine the labor quantity variance and round to the nearest whole dollar. Enter a favorable variance as a negative number. Enter an unfavorable variance as a positive number.

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Expert Solution

labor quantity variance is $57,950F
	Standard			Actual
Particulars	Hours	Rate	amount	Hours	Rate	amount
Labour	15,300.00	19.0000	290,700.00	12,250.00	20.50	251,125.00

Actual output	5,100.00
Labour hrs reqd (5100*3)	15,300.00

DLQV = (SH-AH)SR
DLQV = (15,300 - 12,250)19
DLQV = 57,950 F

ekkarill92 answered 2 months ago

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