Blue Corporation's standards call for 6,650 direct labor-hours to produce 1,900 units of product. During May...

Blue Corporation's standards call for 6,650 direct labor-hours to produce 1,900 units of product. During May 1,600 units were produced and the company worked 1,800 direct labor-hours. The standard hours allowed for May production would be:

1,800 hours

6,650 hours

5,600 hours

5,050 hours

Solutions

Expert Solution

Solution: The correct option is the 3^rd option i.e 5600 hours

Working Note :Actual units=1600 units

The standards call for 6650 direct labour hours to produce 1900 units of the product

Standard hours allowed for May production would be=The standard hours allowed for actual output

Standard hours allowed for May production would be=1600 units*6650directlabour hours/1900units

=5600 hours

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

The standards for product G78V specify 6.1 direct labor-hours per unit at $14.10 per direct labor-hour....

The standards for product G78V specify 6.1 direct labor-hours per unit at $14.10 per direct labor-hour. Last month 1,800 units of product G78V were produced using 11,030 direct labor-hours at a total direct labor wage cost of $146,220. Required: a. What was the labor rate variance for the month? b. What was the labor efficiency variance for the month? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero...

Javonte Co. set standards of 3 hours of direct labor per unit of product and $16.80...

Javonte Co. set standards of 3 hours of direct labor per unit of product and $16.80 per hour for the labor rate. During October, the company uses 21,500 hours of direct labor at a $365,500 total cost to produce 7,400 units of product. In November, the company uses 25,500 hours of direct labor at a $434,775 total cost to produce 7,800 units of product. AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate...

12. The per-unit standards for direct labor are 1.5 direct labor hours at $15 per hour....

12. The per-unit standards for direct labor are 1.5 direct labor hours at $15 per hour. If in producing 3400 units, the actual direct labor cost was $69750 for 4500 direct labor hours worked, the total direct labor variance is $2250 unfavorable. $6750 unfavorable. $6750 favorable. $3400 unfavorable. 13. A company purchases 10000 pounds of materials. The materials price variance is $7000 favorable. What is the difference between the standard and actual price paid for the materials? $1.43 $0.70 $7.00...

The following summarized manufacturing data relate to Thomas Corporation's April operations, during which 2,000 finished units of product were produced. Normal monthly capacity is 1,100 direct labor hours.

Material, Labor, and Variable Overhead VariancesThe following summarized manufacturing data relate to Thomas Corporation's April operations, during which 2,000 finished units of product were produced. Normal monthly capacity is 1,100 direct labor hours.Standard Units CostsTotal Actual CostsDirect materialStandard (2 lb. @ $16.00/lb.)$32Actual (4,200 lb. @ $16.80/lb.)$70,560Direct laborStandard (0.5 hr. @ $31/hr.)$15.50Actual (950 hrs. @ $30/hr.)28,500Variable overheadStandard (0.5 hr. @ $13/hr.)$6.50Actual-13,450Total$54$112,510Determine the following variances:Do not use negative signs with any of your answers. Next to each variance answer, select either "F"...

Midgley Corporation makes a product whose direct labor standards are 1.1 hours per unit and $12.00...

Midgley Corporation makes a product whose direct labor standards are 1.1 hours per unit and $12.00 per hour. In April, the company produced 5,200 units using 5,360 direct labor-hours. The actual direct labor cost was $61,910. The labor rate variance for April is: rev: 11_01_2016_QC_CS-68333 $2,410 U $2,571 F $2,410 F $2,571 U

ABC Company set the following direct labor standards for its single product: standard hours standard rate...

ABC Company set the following direct labor standards for its single product: standard hours standard rate direct labor 5 hours per unit $5 per hour During June, ABC Company produced 10,100 units. Direct laborers worked a total of 69,000 hours in June and were paid a rate of $12.75 per hour. Calculate the total direct labor variance for June. If the variance is favorable, place a minus sign in front of your answer (i.e., -5000). If the variance is unfavorable,...

MAnufacturing overhead is applied on the basis of direct labor hours. The direct labor hours for...

MAnufacturing overhead is applied on the basis of direct labor hours. The direct labor hours for the period are 500 and the estimated manufacturing overhead is 2000. actual direct labor hours were 160 and actual overhead was 1000. Compute the manufacturing overhead applied during this period.

Bellingham Company produced 6,600 units of product that required 8.5 standard direct labor hours per unit....

Bellingham Company produced 6,600 units of product that required 8.5 standard direct labor hours per unit. The standard variable overhead cost per unit is $6.10 per direct labor hour. The actual variable factory overhead was $332,290. Determine the variable factory overhead controllable variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. $

Freytag Corporation's variable overhead is applied on the basis of direct labor-hours. The company has established...

Freytag Corporation's variable overhead is applied on the basis of direct labor-hours. The company has established the following variable overhead standards for product N06C: Standard direct labor-hours 3.7 hours per unit of N06C Standard variable overhead rate $ 5.50 per hour The following data pertain to the most recent month's operations during which 1,800 units of product N06C were made: Actual direct labor-hours worked 6,500 Actual variable overhead incurred $ 36,640 Required: a. What was the variable overhead rate variance...

Highfill Corporation's variable overhead is applied on the basis of direct labor-hours. The standard cost card...

Highfill Corporation's variable overhead is applied on the basis of direct labor-hours. The standard cost card for product D80D specifies 8.4 direct labor-hours per unit of D80D. The standard variable overhead rate is $5.60 per direct labor-hour. During the most recent month, 800 units of product D80D were made and 6,800 direct labor-hours were worked. The actual variable overhead incurred was $41,140. Required: Calculate both the variable overhead rate variance and efficiency variance for the month.

Subjects