Question

In: Accounting

The following direct materials and direct labor data pertain to the operations of Laurel Company for...

The following direct materials and direct labor data pertain to the operations of Laurel Company for the month of August.

Costs
Actual labor rate $14 per hour
Actual materials price $270 per ton
Standard labor rate $13.50 per hour
Standard materials price $274 per ton

Quantities
Actual hours incurred and used 4,900 hours
Actual quantity of materials purchased and used 1,200 tons
Standard hours used 4,980 hours
Standard quantity of materials used 1,180 tons


(a)

Compute the total, price, and quantity variances for materials and labor.

Total materials variance $

  Favorable, Unfavorable, or neither favorable or unfavorable
Materials price variance $

Favorable, Unfavorable, or neither favorable or unfavorable
Materials quantity variance $

  Favorable, Unfavorable, or neither favorable or unfavorable
Total labor variance $

  Favorable, Unfavorable, or neither favorable or unfavorable
Labor price variance $

  Favorable, Unfavorable, or neither favorable or unfavorable
Labor quantity variance $ Favorable, Unfavorable, or neither favorable or unfavorable

Solutions

Expert Solution

If you have any doubts please comment on the answer.

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

The following direct materials and direct labor data pertain to the operations of Laurel Company for...
The following direct materials and direct labor data pertain to the operations of Laurel Company for the month of August. Costs Actual labor rate $15 per hour Actual materials price $190 per ton Standard labor rate $14.50 per hour Standard materials price $193 per ton Quantities Actual hours incurred and used 4,600 hours Actual quantity of materials purchased and used 1,700 tons Standard hours used 4,650 hours Standard quantity of materials used 1,680 tons Compute the total, price, and quantity...
The following direct materials and direct labor data pertain to the operations of Laurel Company for...
The following direct materials and direct labor data pertain to the operations of Laurel Company for the month of August. Costs Actual labor rate $15 per hour Actual materials price $180 per ton Standard labor rate $14.50 per hour Standard materials price $184 per ton Quantities Actual hours incurred and used 4,000 hours Actual quantity of materials purchased and used 1,300 tons Standard hours used 4,090 hours Standard quantity of materials used 1,290 tons (a) Compute the total, price, and...
The following direct materials and direct labor data pertain to the operations of Laurel Company for...
The following direct materials and direct labor data pertain to the operations of Laurel Company for the month of August. Costs Actual labor rate $13 per hour Actual materials price $120 per ton Standard labor rate $12.50 per hour Standard materials price $124 per ton Quantities Actual hours incurred and used 4,900 hours Actual quantity of materials purchased and used 2,000 tons Standard hours used 4,960 hours Standard quantity of materials used 1,990 tons (a) Compute the total, price, and...
Panther Company had the following historical accounting data per unit: Direct materials $60 Direct labor 30...
Panther Company had the following historical accounting data per unit: Direct materials $60 Direct labor 30 Variable overhead 15 Fixed overhead 24 Variable selling expenses 45 Fixed selling expenses 9 The units are normally transferred internally from Division A to Division B. The units also may be sold externally for $210 per unit. The minimum profit level accepted by the company is a markup of 30 percent. There were no beginning or ending inventories. If the negotiated price is used,...
Question The following data pertain to the operations of a manufacturing company for the year 2018...
Question The following data pertain to the operations of a manufacturing company for the year 2018 Item Amount (sh) Sales revenues 1,000,000 Direct materials inventory, Jan 1, 2018 15,000 Direct labour 300,000 Depreciation, plant   60,000 Depreciation, equipment 40,000 Cutting tools used 10,000 Indirect labour 5,000 Factory lighting and power 10,000 Factory supervisor’s salary 50,000 Indirect materials 10,000 Finished goods inventory, Jan 1, 2018 30,000 Work in progress inventory, December 31, 2018 20,000 Office Supplies 10,000 Finished goods inventory, December 31,...
1. Define the following: (a) direct materials, (b) indirect materials, (c) direct labor, (d) indirect labor,...
1. Define the following: (a) direct materials, (b) indirect materials, (c) direct labor, (d) indirect labor, and (e) manufacturing overhead. 2. Explain the difference between a product cost and a period cost.  3. Distinguish between (a) a variable cost, (b) a fixed cost, and (c) a mixed cost. 4.what effect does an increase in volume have on (a) unit fixed costs, (b) unit variable costs, (c) total fixed costs, and (d) total variable costs? 5. Define the following terms: (a) cost...
Direct Materials and Direct Labor Variances
The following information is for the standard and actual costs for the Happy Corporation.Standard Costs:Budgeted units of production - 16,000 (80% of capacity)Standard labor hours per unit - 4Standard labor rate - $26 per hourStandard material per unit - 8 lbs.Standard material cost - $ 12 per poundStandard variable overhead rate - $15 per labor hourBudgeted fixed overhead - $640,000Fixed overhead rate is based on budgeted labor hours at 80% capacity.Actual Cost:Actual production - 16,500 unitsActual material purchased and used...
J Company produces copy paper. The company has established the following direct materials and direct labor...
J Company produces copy paper. The company has established the following direct materials and direct labor standards for one case of copy paper: Paper pulp (3 lbs. @ $0.40) $ 1.20 Labor (2 hrs. @ $12) 24.00 Total prime cost $25.20 During the first quarter of the year, J Company produced 45,000 cases of copy paper. The company purchased and used 135,700 pounds of paper pulp at $0.38 per pound. Actual direct labor used was 91,000 hours at $12.10 per...
1. The following data pertain to April operations for Schnitzels Company:                   Unit sold           &nbsp
1. The following data pertain to April operations for Schnitzels Company:                   Unit sold                                                90.000          Unit produced                                        100.000          Sales price per unit                                $ 12                                    Fixed                            Variable Materials                     -                               $2    per unit produced Direct Labor                -                                 1.5 per unit produced Factory Overhead $200.000                      $0.5 per unit produced Marketing and Administrative       0.2 per unit sold $140.000        Required:        Prepare an operating income statement for 20A using direct costing    
Paulson Company had the following estimated costs for 2019: Direct materials .................... $28,000 Direct labor ...........................
Paulson Company had the following estimated costs for 2019: Direct materials .................... $28,000 Direct labor ........................ 22,000 Advertising expense ................. 15,000 Rent on factory building ............ 13,500 Depreciation on factory equipment ... 6,500 Indirect materials .................. 10,000 Sales commissions ................... 40,000 Production supervisor's salary ...... 28,000 Insurance on equipment .............. 15,000 It is known that 40% of the insurance relates to equipment in the factory while 60% of the insurance relates to the equipment in the administrative offices. Paulson Company...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT