Business, 28.12.2019 04:31 murtaghliam1
Hutto corp. has set the following standard direct materials and direct labor costs per unit for the product it manufactures.
direct materials (15 lbs. @ $4 per lb.) $60
direct labor (3 hrs. @ $15 per hr.) 45
during may the company incurred the following actual costs to produce 8,300 units.
direct materials (128,000 lbs. @ $3.80 per lb.) $486,400
direct labor (29,400 hrs. @ $15.10 per 443,940ah = actual hours
sh = standard hours
ar = actual rate
sr = standard rate
aq = actual quantity
sq = standard quantity
ap = actual price
sp = standard price
(1) compute the direct materials price and quantity variances.
(2) compute the direct labor rate variance and the direct labor efficiency variance. indicate whether each variance is favorable or unfavorable.
Answers: 1
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Hutto corp. has set the following standard direct materials and direct labor costs per unit for the...
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