In: Accounting
1. Dog Bone Bakery, which bakes dog treats, makes a special biscuit for dogs. Each biscuit uses 0.70 cup of pure semolina flour. They buy 4,100 cups of flour at $0.50 per cup. They use 3,277.5 cups of flour to make 4,700 biscuits. The standard cost per cup of flour is $0.49.
A. What are the direct materials price variance, the direct materials quantity variances, and the total direct materials cost variance? Round your answers to two decimals. Enter all amounts as positive numbers.
***Need help with Total Direct Materials Cost Variance***
Direct materials price variance | $41 | Unfavorable |
Direct materials quantity variance | $6.13 | Favorable |
Total direct materials cost variance | $ | Unfavorable |
2.
Queen Industries uses a standard costing system in the manufacturing of its single product. It requires 2 hours of labor to produce 1 unit of final product. In February, Queen Industries produced 14,000 units. The standard cost for labor allowed for the output was $105,000, and there was an unfavorable direct labor time variance of $5,550.
A. What was the standard cost per hour? Round your answer to two decimal places.
Standard cost $3.75 per hour
B. How many actual hours were worked? (Need help with answer)
Actual hours
C. If the workers were paid $3.85 per hour, what was the direct labor rate variance? Round your answer to two decimal places. Enter the amount as positive number. (Need help with answer)
Direct labor rate variance | $ | Unfavorable |