Question
In: Accounting
Direct Materials and Direct Labor Variances Zoller Company produces a dark chocolate candy bar. Recently, the...
Direct Materials and Direct Labor Variances
Zoller Company produces a dark chocolate candy bar. Recently, the company adopted the following standards for one bar of the candy:
| Direct materials (6.20 oz. @ $0.20) | $1.24 |
| Direct labor (0.08 hr. @ $18.00) | 1.44 |
| Standard prime cost | $2.68 |
During the first week of operation, the company experienced the following actual results:
- Bars produced: 141,000.
- Ounces of direct materials purchased: 874,500 ounces at $0.21 per ounce.
- There are no beginning or ending inventories of direct materials.
- Direct labor: 11,140 hours at $17.30.
Required:
Instructions for parts 1 and 2: If a variance is zero, enter "0" and select "Not applicable" from the drop down box.
1. Compute price and usage variances for direct materials.
| Materials Price Variance | $fill in the blank 119d03038f8d01d_1 | |
| Materials Usage Variance | $fill in the blank 119d03038f8d01d_3 |
2. Compute the rate variance and the efficiency variance for direct labor.
| Labor Rate Variance | $fill in the blank 119d03038f8d01d_5 | |
| Labor Efficiency Variance | $fill in the blank 119d03038f8d01d_7 |
3. Prepare the journal entries associated with direct materials and direct labor. If an amount box does not require an entry, leave it blank or enter "0".
| fill in the blank 72ba570a2fdd001_2 | fill in the blank 72ba570a2fdd001_3 | ||
| fill in the blank 72ba570a2fdd001_5 | fill in the blank 72ba570a2fdd001_6 | ||
| fill in the blank 72ba570a2fdd001_8 | fill in the blank 72ba570a2fdd001_9 | ||
| Record purchase of materials | |||
| fill in the blank 72ba570a2fdd001_11 | fill in the blank 72ba570a2fdd001_12 | ||
| fill in the blank 72ba570a2fdd001_14 | fill in the blank 72ba570a2fdd001_15 | ||
| fill in the blank 72ba570a2fdd001_17 | fill in the blank 72ba570a2fdd001_18 | ||
| Record usage of materials | |||
| fill in the blank 72ba570a2fdd001_20 | fill in the blank 72ba570a2fdd001_21 | ||
| fill in the blank 72ba570a2fdd001_23 | fill in the blank 72ba570a2fdd001_24 | ||
| fill in the blank 72ba570a2fdd001_26 | fill in the blank 72ba570a2fdd001_27 | ||
| fill in the blank 72ba570a2fdd001_29 | fill in the blank 72ba570a2fdd001_30 | ||
| Record labor variances |
Solutions
ekkarill92 answered 1 year agoRelated Solutions
Direct Materials and Direct Labor Variances Zoller Company produces a dark chocolate candy bar. Recently, the...
Direct Materials and Direct Labor Variances
Zoller Company produces a dark chocolate candy bar. Recently,
the company adopted the following standards for one bar of the
candy:
Direct materials (6.30 oz. @ $0.20)
$1.26
Direct labor (0.08 hr. @ $18.00)
1.44
Standard prime cost
$2.70
During the first week of operation, the company experienced the
following actual results:
Bars produced: 142,000.
Ounces of direct materials purchased: 894,900 ounces at $0.21
per ounce.
There are no beginning or ending inventories of...
Direct Materials and Direct Labor Variances Zoller Company produces a dark chocolate candy bar. Recently, the...
Direct Materials and Direct Labor Variances
Zoller Company produces a dark chocolate candy bar. Recently,
the company adopted the following standards for one bar of the
candy:
Direct materials (6.30 oz. @
$0.20)
$1.26
Direct labor (0.08 hr. @ $18.00)
1.44
Standard prime cost
$2.70
During the first week of operation, the company experienced the
following actual results:
Bars produced: 145,000.
Ounces of direct materials purchased: 913,800 ounces at $0.21
per ounce.
There are no beginning or ending inventories of...
Direct Materials and Direct Labor Variances Zoller Company produces a dark chocolate candy bar. Recently, the...
Direct Materials and Direct Labor Variances
Zoller Company produces a dark chocolate candy bar. Recently,
the company adopted the following standards for one bar of the
candy:
Direct materials (6.20 oz. @ $0.20) $1.24
Direct labor (0.08 hr. @ $18.00) 1.44
Standard prime cost $2.68
During the first week of operation, the company experienced the
following actual results:
Bars produced: 144,000.
Ounces of direct materials purchased: 893,100 ounces at $0.21 per
ounce.
There are no beginning or ending inventories of...
Candy Company produces a dark chocolate candy bar. Recently, the company adopted the following standards for...
Candy Company produces a dark chocolate candy bar. Recently, the
company adopted the following standards for one bar of the
candy:
Direct Materials (5.5 oz. @ $0.22) $1.21
Direct Labor (0.15 hours @ $10.00) $1.50
Standard Prime Cost $2.71
During the first week of operation, the company experienced the
following actual results:
Bars produced: 150,000.
Ounces of direct materials purchased: 823,600 ounces at $0.23
per ounce.
There are no beginning or ending inventories of direct
materials.
Direct Labor: 23,200 hours...
Direct Materials and Direct Labor Variances
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Direct Labor and Direct Materials Variances, Journal Entries Jameson Company produces paper towels. The company has...
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Jameson Company produces paper towels. The company has
established the following direct materials and direct labor
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Total prime cost
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Direct Labor and Direct Materials Variances, Journal Entries Jameson Company produces paper towels. The company has...
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Jameson Company produces paper towels. The company has
established the following direct materials and direct labor
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Paper pulp (3 lbs. @ $0.40)
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Labor (2 hrs. @ $12)
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Total prime cost
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During the first quarter of the year, Jameson produced 45,000
cases of paper towels. The company purchased and used 135,700
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Direct Materials, Direct Labor, and Overhead Variances, Journal Entries Algers Company produces dry fertilizer. At the...
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Algers Company produces dry fertilizer. At the beginning of the
year, Algers had the following standard cost sheet:
Direct materials (5 lbs. @ $2.60)
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Direct labor (0.75 hr. @ $18.00)
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Algers computes its overhead rates using practical volume, which
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