Blossom Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product: Direct materials (6.00 kg at $1.90 per kilogram) Direct labour (2.55 hours at $12.80 per hour) Direct materials purchased and used (1,900 kg) Direct labour (740 hours) During the month of April, the company manufactures 300 units and incurs the following actual costs: Price variance $ Quantity variance $ Total variance $11.40 Calculate the total, price, and quantity variances for materials and labour. (Round intermediate calculations to 2 decimal places, e.g. 1.25 and final answer to 0 decimal places, e.g. 125.) $32.64 $ $3,895 $9,065 Materials Lab
Blossom Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product: Direct materials (6.00 kg at $1.90 per kilogram) Direct labour (2.55 hours at $12.80 per hour) Direct materials purchased and used (1,900 kg) Direct labour (740 hours) During the month of April, the company manufactures 300 units and incurs the following actual costs: Price variance $ Quantity variance $ Total variance $11.40 Calculate the total, price, and quantity variances for materials and labour. (Round intermediate calculations to 2 decimal places, e.g. 1.25 and final answer to 0 decimal places, e.g. 125.) $32.64 $ $3,895 $9,065 Materials Lab
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead
Section: Chapter Questions
Problem 4P: Calculation of materials and labor variances
Fritz Corp. manufactures and sells a single product....
Related questions
Concept explainers
Variance Analysis
In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.
Standard Costing
The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.
Topic Video
Question
rr
Transcribed Image Text:Blossom Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product:
Direct materials (6.00 kg at $1.90 per kilogram)
Direct labour (2.55 hours at $12.80 per hour)
Direct materials purchased and used (1,900 kg)
Direct labour (740 hours)
During the month of April, the company manufactures 300 units and incurs the following actual costs:
Price variance
$
Quantity variance $
Total variance
$11.40
Calculate the total, price, and quantity variances for materials and labour. (Round intermediate calculations to 2 decimal places, e.g. 1.25
and final answer to 0 decimal places, e.g. 125.)
$32.64
$
$3,895
$9,065
Materials
$
$
Lab
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 4 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,