Concept explainers
SkyChefs, Inc., prepares in-flight meals for a number of major airlines. One of the company’s products is grilled salmon in dill sauce with baby new potatoes and spring vegetables. During the most recent week, the company prepared 4,300 of these meals using 1,250 direct labor-hours. The company paid its direct labor workers a total of $11,250 for this work, or $9.00 per hour.
According to the
Required:
1. What is the standard labor-hours allowed (SH) to prepare 4,300 meals?
2. What is the standard labor cost allowed (SH × SR) to prepare 4,300 meals?
3. What is the labor spending variance?
4. What is the labor rate variance and the labor efficiency variance?
Trending nowThis is a popular solution!
Step by stepSolved in 2 steps with 3 images
- Lillian Fok is president of Lakefront Manufacturing, a producer of bicycle tires. Fok makes 1,000 tires per day with the following resources: Labor: 400 hours per day @ $12.50 per hour 20,000 pounds per day @ $1.00 per pound $5,000 per day $10,000 per day Raw Material: Energy: Capital: Labor productivity per labor hour for these tires = tires/labor hour (round your response to two decimal places).arrow_forwardovertime long time periods of several years, supervisory labor costs will tend to behave as: a. fixed cost b. semi fixed cost c. variable cost d. linear variable costarrow_forwardThis year the Druehl, Inc., will produce 57,600 hot water heaters at its plant in Delaware, in order to meet expected global demand. To accomplish this, each laborer will work 160 hours per month. If the labor productivity at the plant is 0.15 hot water heaters per labor-hour, how many laborers are employed to the plantarrow_forward
- Great Valley Income Tax Advice GV is a small accounting firm supporting wealthy individuals in their preparation of annual income tax statements. Every December, GV sends out a short survey to their customers, asking for the information required for preparing the tax statements. Based on 50 years of experience, GV categorizes their cases into the following groups: Group 1 (new customers, easy): 15 percent of cases Group 2 (new customers, complex): 5 percent of cases Group 3 (repeat customers, easy): 50 percent of cases Group 4 (repeat customers, complex): 30 percent of cases Here, “easy” versus “complex” refers to the complexity of the customer’s earning situation. In order to prepare the income tax statement, GV needs to complete the following set of activities. Processing times (and even which activities need to be carried out) depend on which group a tax statement falls into. All of the following processing times are expressed in minutes per income tax statement. The activities…arrow_forwardIf the workers required for the current month is 65 and prior month is 48, calculate the hiring cost for the current month, if the hiring rate is $250 per worker.arrow_forwardInclude a summary of the requirements for training and certification, as well as some illustrations drawn from real-life scenarios.arrow_forward
- In the dynamic landscape of modern businesses, effective staffing extends beyond merely matching skills with job requirements. It encompasses a strategic approach to workforce planning, talent acquisition, and employee engagement. A comprehensive staffing strategy involves forecasting future skill needs, understanding industry trends, and embracing diversity and inclusion to foster innovation. Talent acquisition goes beyond traditional recruitment methods, incorporating digital platforms, networking events, and employer branding to attract top talent. Once hired, employee engagement becomes crucial for retention and productivity. This involves creating a positive work culture, offering career development opportunities; and providing meaningful feedback. Ultimately, successful staffing is an ongoing process that aligns the workforce with the organization's goals and values. Question: How does your organization leverage technology and digital platforms in its talent acquisition process…arrow_forwardA recurring maintenance job in a factory is being done by a three-man crew. Due to the nature of the job and space limitations, it was observed that two of the men were idle 37% of the time; one of the men was also idle an additional of the time, and at any given time only one man was required. The men were each paid P24.00 per hour. Each time the job was performed a set of tools and equipment with a value equivalent to P36.00 per hour was used. If the three-men crew could complete the work in 5 hours, which crew size would be the most economicalarrow_forwardWhich among the following refers to chase method? Stable output rates and workforce Worker levels and production output are stable The cost of adjusting output rates and/or workforce levels Tends to be the preferred strategy of many organizations, including labor unions.arrow_forward
- In a one-page paper, list the advantages and disadvantages of using part-time employees to help meet demand.arrow_forwardThank you for your great effort , but can you plead give me more explation for ( To measure overtime hours ). Thank youarrow_forwardThe time for which a piece of equipment operates is called Effective time explain?arrow_forward
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill EducationOperations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
- Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage LearningProduction and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.