Please answer both questions. Milar Corporation makes a product with the following standard costs:Standard Quantity orStandard Price orHoursRateDirect materials6.0 pounds$ 5.50 per poundDirect labor0.8 hours$24.00 per hourVariable overhead0.8 hours$11.00 per hourIn January the company produced 3,350 units using 13,400 pounds of the direct material and 2,800 direct labor-hours. During the month, the company purchased 16,900 pounds of the direct materlal at acost of $14,160. The actual direct labor cost was $66,796 and the actual varlable overhead cost was $29,508.The company applies varlable overhead on the basis of direct labor-hours. The direct materlals purchases varlance is computed when the materlals are purchased.The labor rate varlance for January Is:Multiple Choice$404 F$404 U$2.476 U$2.476 F Gipple Corporation makes a product that uses a materlal with the quantity standard of 7.8 grams per unit of output and the price standard of $6.50 per gram. In January the company produced 3,900 unitsusing 25,370 grams of the direct material. During the month the company purchased 27,900 grams of the direct material at $6.70 per gram. The direct materlals purchases variance is computed when thematerials are purchased.The materlals price varlance for January Is:Multiple Cholce$6,084 F$5.580 U$6,084 U$5,580 F

Labor rate variance = (Standard rate - Actual rate) ×Actual hours consumed Where ,Actual rate =…

Milar Corporation makes a product with the following standard costs: Standard Quantity or Standard Price or Hours Rate $ 5.50 per pound $24.00 per hour $11.00 per hour Direct materials 6.0 pounds Direct labor 0.8 hours Variable overhead 0.8 hours In January the company produced 3,350 units using 13,400 pounds of the direct material and 2,800 direct labor-hours. During the month, the company purchased 16,900 pou cost of $14,160. The actual direct labor cost was $66,796 and the actual varlable overhead cost was $29,508. The company applies varlable overhead on the basis of direct labor-hours. The direct materials purchases varlance is computed when the materials are purchased. The labor rate varlance for January Is: Multiple Cholce $404 F $404 U $2.476 U $2.476 F

Milar Corporation makes a product with the following standard costs: Standard Quantity or Standard Price or Hours Rate $ 5.50 per pound $24.00 per hour $11.00 per hour Direct materials 6.0 pounds Direct labor 0.8 hours Variable overhead 0.8 hours In January the company produced 3,350 units using 13,400 pounds of the direct material and 2,800 direct labor-hours. During the month, the company purchased 16,900 pou cost of $14,160. The actual direct labor cost was $66,796 and the actual varlable overhead cost was $29,508. The company applies varlable overhead on the basis of direct labor-hours. The direct materials purchases varlance is computed when the materials are purchased. The labor rate varlance for January Is: Multiple Cholce $404 F $404 U $2.476 U $2.476 F

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter8: Standard Costs And Variances

Section: Chapter Questions

Problem 5EA: Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The...

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Gipple Corporation makes a product that uses a material with the quantity standard of 9.1 grams per unit of output and the price standard of $7.80 per gram. In January the company produced 5,200 units using 26,670 grams of the direct material. During the month the company purchased 29.200 grams of the direct material at $7.90 per gram. The direct materials purchases variance is computed when the materials are purchased. The materials price variance for January is Multple Cholce $4732 F S2.920 U $4,732 U S2.920 F Prev 8 of 10 Mc Graw Hill 10:54 AM 22 10/5/2021 W 92 F AQI 61 Type here to search DELL Hor PgUp Insert Delete F12 PrtScr F10 F11 F8 F9 FZ
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