Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity. : The meaning of Quantity standard and Price standard.

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Answer 1

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.

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Students have asked these similar questions

Subject:- General Account Aaker Corporation, which has only one product, has provided the following data concerning its most recent month of operations: Selling price Units in beginning inventory Units produced $ 119 0 6,550 Units sold 6,250 Units in ending inventory 300 Variable costs per unit: Direct materials $ 17 Direct labor $ 47 Variable manufacturing overhead $ 11 Variable selling and administrative $ 11 Fixed costs: Fixed manufacturing overhead $1,76,850 Fixed selling and administrative $25,500 What is the unit product cost for the month under variable costing? a. $86 per units b. $113 per units c. $102 per units d. $75 per units

Sales revenue on the books was solve this question general accounting

A company s normal selling price for its product is $25 per unit. However, due to market competition, the selling price has fallen to $20 per unit. This company's current inventory consists of 150 units purchased at $21 per unit. Replacement cost has fallen to $18 per unit. Calculate the value of this company's inventory at the lower of cost or market.[General Account]

Answer 2

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.

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Answer 3

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.

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Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Definition Definition System of assigning an estimated cost to the product (instead of the actual cost) so that the product cost can be determined well in advance and the pricing of the product can be done on time. Since the actual cost cannot be predicted at the initial stage of the production process, the estimated cost is recorded in the books. Any deviation of the estimated cost of the actual cost is adjusted in the books at the end of the period.

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.

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Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.

Answer 6

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.

Answer 7

Chapter 10, Problem 1Q

To determine

Quantity standard is the quantity of material used to produce each a unit of output. Price standard is the unit price of materials that should be paidat a given level of activity.

:

The meaning of Quantity standard and Price standard.

Answer 8

Expert Solution & Answer

Explanation of Solution

Solution:

Quantity standard is units of direct material used to produce each unit of output. Difference between standard quantity allowed and actual quantity used result in Direct material usage variance.

Material Price Variance = (Standard price per unit - Actual Price per unit)×Actual material

Price standard is the unit price of materials to produce a given level of activity. Difference between standard cost and actual cost result in Direct material price variance.