Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 30 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $15.6 |
| Standard labor time per unit | 20 min. |
| Standard number of lbs. of brass | 2 lbs. |
| Standard price per lb. of brass | $10 |
| Actual price per lb. of brass | $10.25 |
| Actual lbs. of brass used during the week | 13,596 lbs. |
| Number of units produced during the week | 6,600 |
| Actual wage per hour | $16.07 |
| Actual hours for the week (30 employees × 36 hours) | 1,080 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | |
| Direct Materials Quantity Variance | $ | |
| Total Direct Materials Cost Variance | $ |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | |
| Direct Labor Time Variance | $ | |
| Total Direct Labor Cost Variance | $ |
In: Accounting
Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 30 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $13.2 |
| Standard labor time per unit | 15 min. |
| Standard number of lbs. of brass | 2.1 lbs. |
| Standard price per lb. of brass | $11.25 |
| Actual price per lb. of brass | $11.5 |
| Actual lbs. of brass used during the week | 16,871 lbs. |
| Number of units produced during the week | 7,800 |
| Actual wage per hour | $13.6 |
| Actual hours for the week (30 employees × 36 hours) | 1,080 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ ??? |
| Direct labor standard cost per unit | $ ??? |
| Total standard cost per unit | $ ??? |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | ??? |
| Direct Materials Quantity Variance | $ | ??? |
| Total Direct Materials Cost Variance | $ | ??? |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ ??? | |
| Direct Labor Time Variance | $ ??? | |
| Total Direct Labor Cost Variance | $ ??? |
In: Accounting
Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures faucets in a small manufacturing facility. The faucets are made from brass. Manufacturing has 30 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $15.00 |
| Standard labor time per faucet | 20 min. |
| Standard number of lbs. of brass | 1.3 lbs. |
| Standard price per lb. of brass | $12.25 |
| Actual price per lb. of brass | $12.50 |
| Actual lbs. of brass used during the week | 10,444 lbs. |
| Number of faucets produced during the week | 7,800 |
| Actual wage per hour | $15.45 |
| Actual hours for the week (30 employees × 36 hours) | 1,080 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | Unfavorable |
| Direct Materials Quantity Variance | $ | Unfavorable |
| Total Direct Materials Cost Variance | $ | Unfavorable |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | Unfavorable |
| Direct Labor Time Variance | $ | Favorable |
| Total Direct Labor Cost Variance | $ | Favorable |
In: Accounting
Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures faucets in a small manufacturing facility. The faucets are made from brass. Manufacturing has 50 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $11.40 |
| Standard labor time per faucet | 20 min. |
| Standard number of lbs. of brass | 1.5 lbs. |
| Standard price per lb. of brass | $11.75 |
| Actual price per lb. of brass | $12.00 |
| Actual lbs. of brass used during the week | 12,515 lbs. |
| Number of faucets produced during the week | 8,100 |
| Actual wage per hour | $11.74 |
| Actual hours for the week (50 employees × 36 hours) | 1,800 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | |
| Direct Materials Quantity Variance | $ | |
| Total Direct Materials Cost Variance | $ |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | |
| Direct Labor Time Variance | $ | |
| Total Direct Labor Cost Variance | $ |
In: Accounting
Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 50 employees. Each employee presently provides 35 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $11.4 |
| Standard labor time per unit | 15 min. |
| Standard number of lbs. of brass | 1.5 lbs. |
| Standard price per lb. of brass | $10 |
| Actual price per lb. of brass | $10.25 |
| Actual lbs. of brass used during the week | 12,051 lbs. |
| Number of units produced during the week | 7,800 |
| Actual wage per hour | $11.74 |
| Actual hours for the week (50 employees × 35 hours) | 1,750 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | Unfavorable |
| Direct Materials Quantity Variance | $ | Unfavorable |
| Total Direct Materials Cost Variance | $ | Unfavorable |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | Unfavorable |
| Direct Labor Time Variance | $ | Favorable |
| Total Direct Labor Cost Variance | $ | Favorable |
In: Accounting
Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures faucets in a small manufacturing facility. The faucets are made from brass. Manufacturing has 30 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $15.00 |
| Standard labor time per faucet | 20 min. |
| Standard number of lbs. of brass | 1.3 lbs. |
| Standard price per lb. of brass | $12.25 |
| Actual price per lb. of brass | $12.50 |
| Actual lbs. of brass used during the week | 10,444 lbs. |
| Number of faucets produced during the week | 7,800 |
| Actual wage per hour | $15.45 |
| Actual hours for the week (30 employees × 36 hours) | 1,080 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | |
| Direct Materials Quantity Variance | $ | |
| Total Direct Materials Cost Variance | $ |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | |
| Direct Labor Time Variance | $ | |
| Total Direct Labor Cost Variance | $ |
In: Accounting
Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 30 employees. Each employee presently provides 35 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $12 |
| Standard labor time per unit | 20 min. |
| Standard number of lbs. of brass | 1.2 lbs. |
| Standard price per lb. of brass | $12.75 |
| Actual price per lb. of brass | $13 |
| Actual lbs. of brass used during the week | 8,158 lbs. |
| Number of units produced during the week | 6,600 |
| Actual wage per hour | $12.36 |
| Actual hours for the week (30 employees × 35 hours) | 1,050 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | Unfavorable |
| Direct Materials Quantity Variance | $ | Unfavorable |
| Total Direct Materials Cost Variance | $ | Unfavorable |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | Unfavorable |
| Direct Labor Time Variance | $ | Favorable |
| Total Direct Labor Cost Variance | $ | Favorable |
In: Accounting
Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 30 employees. Each employee presently provides 35 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $12 |
| Standard labor time per unit | 20 min. |
| Standard number of lbs. of brass | 1.2 lbs. |
| Standard price per lb. of brass | $12.75 |
| Actual price per lb. of brass | $13 |
| Actual lbs. of brass used during the week | 8,158 lbs. |
| Number of units produced during the week | 6,600 |
| Actual wage per hour | $12.36 |
| Actual hours for the week (30 employees × 35 hours) | 1,050 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $ |
| Direct labor standard cost per unit | $ |
| Total standard cost per unit | $ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $ | Unfavorable |
| Direct Materials Quantity Variance | $ | Unfavorable |
| Total Direct Materials Cost Variance | $ | Unfavorable |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $ | Unfavorable |
| Direct Labor Time Variance | $ | Favorable |
| Total Direct Labor Cost Variance | $ | Favorable |
In: Accounting
Direct Materials and Direct Labor Variance Analysis
Abbeville Fixture Company manufactures units in a small manufacturing facility. The units are made from brass. Manufacturing has 40 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows:
| Standard wage per hour | $12 |
| Standard labor time per unit | 20 min. |
| Standard number of lbs. of brass | 1.8 lbs. |
| Standard price per lb. of brass | $12.25 |
| Actual price per lb. of brass | $12.5 |
| Actual lbs. of brass used during the week | 12,793 lbs. |
| Number of units produced during the week | 6,900 |
| Actual wage per hour | $12.36 |
| Actual hours for the week (40 employees × 36 hours) | 1,440 hrs. |
Required:
a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places.
| Direct materials standard cost per unit | $________ |
| Direct labor standard cost per unit | $________ |
| Total standard cost per unit | $_______ |
b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Materials Price Variance | $____________ | Unfavorable |
| Direct Materials Quantity Variance | $____________ | Unfavorable |
| Total Direct Materials Cost Variance | $____________ | Unfavorable |
c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
| Direct Labor Rate Variance | $____________ | Unfavorable |
| Direct Labor Time Variance | $___________ | Favorable |
| Total Direct Labor Cost Variance | $___________ | Favorable |
In: Accounting
| Consider the following information from Manufacturing Inc., then see the instructions that | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| follow. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Manufacturing Inc. manufactures plastic thing-a-majigs. Materials are added at the beginning | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| of the production process and conversion costs are incurred uniformly. Production and cost | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| data for the month of June, 2016 are as follows. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Production data | Units | Percent Complete | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Work in process units, June 1 | 2,600 | 61% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Units started into production | 6,285 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Work in process units, June 30 | 3,000 | 38% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost data | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Work in process, June 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Materials | $7,250 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Coversion costs | 6,050 | $13,300 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Direct materials | 23,600 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Direct labor | 15,850 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Manufacturing overhead | 12,750 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Instructions: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Prepare a production cost report for the month of June, making sure to show equivalent | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| units of production for materials and conversion costs, unit costs of production for materials | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| and conversion costs, and the assignment of costs to units transferred out and in process at | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| the end of June. I HAVE THE LAYOUT POSTED BUT JUST NEED THE NUMBERS FILLED IN!!! | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| THIS ASSIGNMENT MUST BE COMPLETED IN EXCEL. You should develop an efficient and | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
customizable production cost
report, using formulas whenever possible instead of keyed in
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In: Accounting