Business, 19.10.2019 11:20 kaykaystark5528
Harmon household products, inc., manufactures a number of consumer items for general household use. one of these products, a chopping board, requires an expensive hardwood. during a recent month, the company manufactured 3,400 chopping boards using 2,482 board feet of hardwood. the hardwood cost the company $16,381. the company’s standards for one chopping board are 0.64 board feet of hardwood, at a cost of $7.00 per board foot. required: 1. according to the standards, what cost for wood should have been incurred to make 3,400 chopping blocks? how much greater or less is this than the cost that was incurred? number of chopping blocks 3,400number of board feet per chopping block 0.64standard board feet allowed 2,176standard cost per board foot $7.00total standard cost $15,232actual cost incurred $16,381standard cost 15,232spending variance—unfavorable $1,149 2. break down the difference computed in (1) above into a materials price variance and a materials quantity variance.(indicate the effect of each variance by selecting "f" for favorable, "u" for unfavorable, and "none" for no effect (i. e., zero price variance $2,142 umaterials quantity variance $993 f
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Harmon household products, inc., manufactures a number of consumer items for general household use....
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