What does a positive and negative direct material quantity variance mean ? Explain in detail and...

What does a positive and negative direct material quantity variance mean ? Explain in detail and go beyond favourable and unfavourable variance.

Expert Solution

ekkarill92 answered 2 years ago

What does a positive and negative direct material price variance mean? Explain in details using examples...

What does a positive and negative direct material price variance mean? Explain in details using examples and ensure to go beyond stating only favourable or unfavourable variances ?

What does a positive and negative : (i) direct labour rate variance mean ? Explain in...

What does a positive and negative : (i) direct labour rate variance mean ? Explain in details and go beyond favourable and unfavourable variance? (II) direct labour efficiency variance mean? Explain in details and go beyond favourable and unfavourable variance?

Direct Material Price Variance, Direct Material Quantity Variance

The following data is given for the Taylor Company:Budgeted production 1,000 unitsActual production 980 unitsMaterials:Standard price per lb $2.00Standard pounds per completed unit 12Actual pounds purchased and used in production 11,800Actual price paid for materials $23,000Labor:Standard hourly labor rate $14 per hourStandard hours allowed per completed unit 4.5Actual labor hours worked 4,560Actual total labor costs $62,928Overhead:Actual and budgeted fixed overhead $27,000Standard variable overhead rate $3.50 per standard labor hourOverhead is applied on standard labor hours.The direct material prive variance is?...

What does a positive and negative fixed overhead budget variance and fixed overhead volume variance mean?...

What does a positive and negative fixed overhead budget variance and fixed overhead volume variance mean? In the answer, ensure to go beyond stating that it is favourable or unfavourable.

What is the direct material volume variance, direct material efficiency variance, and the direct material price...

What is the direct material volume variance, direct material efficiency variance, and the direct material price variance? Are each of these favorable or unfavorable? Use the following scenario to help answer these questions: DeFleur manufactures bicycles. The bicycles are manufactured in two divisions. In the framing division, the carbon bicycle frames are manufactured. In the assembly division, the components are assembled to the frame and the bike is ready for sale. There is no market for the unassembled frames and...

Compute the direct-material purchase price variance and quantity variance for March

Rocky Mountain Camping Equipment, Inc. has established the following direct-material standards for its two products. Standard QuantityStandard PriceStandard camping tent24 yards$11.00 per yardDeluxe backpacking tent19 yards$8.20 per yardDuring March, the company purchased 4,400 yards of tent fabric for its standard model at a cost of $49,720. The actual March production of the standard tent was 140 tents, and 3,460 yards of fabric were used. Also during March, the company purchased 1,400 yards of the same tent fabric for its deluxe backpacking...

direct material price variance

Standard costing 1) Your organisation has just recorded a favourable direct material quantity variance. What are...

Standard costing 1) Your organisation has just recorded a favourable direct material quantity variance. What are some of the factors that could have caused this variance? 2) Are any of the factors you listed in your answer to (1) likely to impact on the magnitude of the direct material price variance or the direct labour variances? If so, how? 3) An organisation has just recorded an unfavourable total direct labour variance. What are the possible explanations for such a variance...

Calculate Direct Material Variance and Efficiency Variance & Total Variance and if it is Favorable or...

Calculate Direct Material Variance and Efficiency Variance & Total Variance and if it is Favorable or Unfavorable. AP x AQ=$53,625 SP x AQ= $66,000 SP x SQ=$100,000

Explain direct material variance and labor variance. Please give a good explanation and example to support...

Explain direct material variance and labor variance. Please give a good explanation and example to support your answer.

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