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FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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
Transcribed Image Text:A company, which uses standard costing, manufactures a single product with the following cost card:
Standard Direct Labor Hours allowed per unit of product
4.5 DLHS
Standard Direct Labor Rate
Selected results for the most recent period are:
Budgeted Production
Actual Production
Actual Direct Labor Cost
Actual Direct Labor Hours
Labor Rate Variance
Labor Spending Variance
What is the Labor Rate Variance?
2,200 units
2,500 units
$ 125,000
S
11,700 hours
?
4,150 Favorable
?per DLH
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- Fast answer pleasearrow_forwardThe following data relate to direct labor costs for the current period: Line Item Description Value Standard costs 7,000 hours at $11.90 Actual costs 6,300 hours at $10.70 The direct labor time variance is a. $8,330 unfavorable b. $7,490 favorable c. $7,490 unfavorable d. $8,330 favorablearrow_forwardPlease help me with all answers thankuarrow_forward
- Direct Material Direct Labor Standard Cost Data per 1 Unit Quantity Price 3 lbs $2.00/lb 2 hrs $4.00/hr Actual Data: Units produced Material purchase & usage Direct Labor Show all computations. 25 100 lbs at $2.20 per lb 30 hrs; total cost $129 a) Compute price variance, quantity variance, direct material variance b) Compute rate variance, efficiency variance, direct labor variancearrow_forwardCalculate the labor efficiency variance: Labor costs: Budgeted costs (per unit) 2.25 hours at € 16.40 per hour based on 350 units. Actual: Units: 310 Hours: 620 Labor cost: € 10, 540 a. €1, 435 favourable b. € 1,271 favourable c. € 899 favourable d. €1, 435 adversearrow_forwardData on Gantry Company's direct labor costs are given below: Standard direct labor-hours Actual direct labor-hours Direct labor efficiency variance-favorable Direct labor rate variance-favorable Total direct labor payroll What was Gantry's actual direct labor rate? re to search Multiple Choice $7.80 $3.40 IIarrow_forward
- Subject: acountingarrow_forwardData on Gantry Company's direct labor costs are given below: Standard direct labor-hours Actual direct labor-hours Direct labor efficiency variance-favorable Direct labor rate variance-favorable Total direct labor payroll What was Gantry's actual direct labor rate? 35,000 34,000 $ 4,100 $ 6,800 $ 132,600 Multiple Choice $4.10 $3.70 $3.90 $6.80arrow_forwardRamona Company has the following labor-related data: Standard labor hours for output: 15,000 hours Standard labor rate: $10 per hour Actual labor rate: $8 per hour Actual labor hours: 17,500 hours Given this data, which one of the following would be included in the single journal entry needed to record Wages Payable and the labor variances? a. credit Labor Efficiency Variance for $25,000 b. debit Labor Rate Variance for $35,000 c. credit Wages Payable for $175,000 d. debit Work-In-Process Inventory for $140,000 e. credit Labor Rate Variance for $10,000 f. credit Labor Rate Variance for $35,000 g. credit Labor Efficiency Variance for $10,000arrow_forward
- The following labor standards have been established for a particular product: Standard labor-hours per unit of output. Standard labor rate 4.0 hours S12.30 per hour The following data pertain to operations concerning the product for the last month: Actual hours worked Actual total labor cost.... Actual butput. 7,100 hours S89,105 1,500 units What is the labor efficiency (quantity) variance for the month? Enter a favorable variance as a positive number; an unfavorable variance as a negative number. ENTER YOUR ANSWER WITHOUT DOLLAR SIGNS OR OTHER DESCRIPTIONS.arrow_forwardThe following information relating to a company's overhead costs is available. Budgeted fixed overhead rate per machine hour Actual variable overhead Budgeted variable overhead rate per machine hour Actual fixed overhead Budgeted hours allowed for actual output achieved Based on this information, the total overhead variance is: Multiple Choice O O $69,000 favorable. $112,000 favorable. $43,000 unfavorable. $112,000 unfavorable. $43,000 favorable. $ 1.50 $ 99,000 $ 4.00 $ 20,000 42,000arrow_forwardCost Managementarrow_forward
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