Japan Company produces lamps that require 3 standard hours per unit at an hourly rate of...

Japan Company produces lamps that require 3 standard hours per unit at an hourly rate of $16.50 per hour. Production of 3,700 units required 11,430 hours at an hourly rate of $17.00 per hour. Enter favorable variances as negative numbers.

(a) Determine the direct labor rate variance.	$(Favorable/Unfavorable)
(b) Determine the direct labor time variance.	$(F/U)
(c) Determine the cost variance.	$(F/U)

Expert Solution

a)Labor rate variance = AH[AR-SR]

= 11430 [17-16.5]

= 5715 U

b)labor time variance = SR[AH-SH]

= 16.5[11430-(3700*3)]

= 16.5[11430-11100]

= 5445 U

C)cost variance =rate variance + time variance

= 5715 +5445

= 11160 U

ekkarill92 answered 2 years ago

Japan Company produces lamps that require 2 standard hours per unit at a standard hourly rate...

Japan Company produces lamps that require 2 standard hours per unit at a standard hourly rate of $17.20 per hour. Production of 5,500 units required 10,780 hours at an hourly rate of $16.70 per hour. What is the direct labor (a) rate variance, (b) time variance, and (c) total cost variance? Enter favorable variances as negative numbers. a. Direct labor rate variance $ Unfavorable b. Direct labor time variance $ Unfavorable c. Total direct labor cost variance $ Unfavorable

standard labor hours per unit 4.5 hours standard labor rate $17 per hour actual hours worked...

standard labor hours per unit 4.5 hours standard labor rate $17 per hour actual hours worked 2,000 hours actual labor $38,000 actual output 500 units What is the labor efficiency variance? $4,250 favorable $1,500 unfavorable $4,250 unfavorable $1,500 favorable Which is correct?

Bellingham Company produces a product that requires 2 standard direct labor hours per unit at a...

Bellingham Company produces a product that requires 2 standard direct labor hours per unit at a standard hourly rate of $21.00 per hour. If 2,700 units used 5,600 hours at an hourly rate of $19.95 per hour, what is the direct labor (a) rate variance, (b) time variance, and (c) cost variance? Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. a. Direct labor rate variance $ b. Direct...

1. Direct Labor Variances Bellingham Company produces a product that requires 4 standard hours per unit...

1. Direct Labor Variances Bellingham Company produces a product that requires 4 standard hours per unit at a standard hourly rate of $22.00 per hour. If 5,000 units required 20,800 hours at an hourly rate of $20.90 per hour, what is the direct labor (a) rate variance, (b) time variance, and (c) total direct labor cost variance? Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. a. Direct labor...

Ruby Company produces a chair for which the standard specifies 3 yards of material per unit....

Ruby Company produces a chair for which the standard specifies 3 yards of material per unit. The standard price of one yard of material is $10.40. During the month, 5,900 chairs were manufactured, using 17,300 yards at a cost of $9.78 per yard. Determine the following: Enter favorable variances as negative numbers. a. Direct materials price variance $ b. Direct materials quantity variance $ c. Total direct materials cost variance $

Standard Quantity or Hours Standard Price or Rate Standard Cost Per Unit Direct materials 7.0 ounces...

Standard Quantity or Hours Standard Price or Rate Standard Cost Per Unit Direct materials 7.0 ounces $ 4.00 per ounce $ 28.00 Direct labor 0.7 hours $ 14.00 per hour $ 9.80 Variable overhead 0.7 hours $ 9.00 per hour $ 6.30 The company reported the following results concerning this product in May. Actual output 2,900 units Raw materials used in production 21,000 ounces Purchases of raw materials 21,900 ounces Actual direct labor-hours 2,000 hours Actual cost of raw materials...

Units Produced 131000 Standard direct labor hours per unit .20 Standard variable OH rate per dierect...

Units Produced 131000 Standard direct labor hours per unit .20 Standard variable OH rate per dierect labor hour 3.4 actual variable overhead costs 8670 Actaul hours worked 26350 1. Calculate the total variable overhead variance 2. What if the actual production was 129600 units? How would that affect the total variable overhead variance? the total variable overhead variance 2. What if actual production has been

Nighthawk, Inc. produced 4,000 units that require eight standard pounds per unit at $3 per pound....

Nighthawk, Inc. produced 4,000 units that require eight standard pounds per unit at $3 per pound. The company actually used 35,000 pounds in production. The journal entry to record the standard direct materials used in production would include a a.debit to Direct Materials Quantity Variance for $9,000. b.debit to Materials for $105,000. c.credit to Work in Process for $96,000. d.credit to Direct Materials Quantity Variance for $9,000.

Tucker Company produced 7,000 units of product that required 3.2 standard hours per unit. The standard...

Tucker Company produced 7,000 units of product that required 3.2 standard hours per unit. The standard variable overhead cost per unit is $6.40 per hour. The actual variable factory overhead was $140,490. Determine the variable factory overhead controllable variance. Enter a favorable variance as a negative number.

1. Dvorak Company produced 2,800 units that require 11 standard pounds per unit at $3.5 standard...

1. Dvorak Company produced 2,800 units that require 11 standard pounds per unit at $3.5 standard price per pound. The company actually used 29,600 pounds in production. Journalize the entry to record the standard direct materials used in production. For a compound transaction, if an amount box does not require an entry, leave it blank. Work in Process Direct Materials Quantity Variance Materials 2. The following data relate to the direct materials cost for the production of 2,400 automobile tires:...

Question