ABC Company began operations on June 1, 2019. For its first month of operations, ABC...
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ABC Company began operations on June 1, 2019. For its first month of operations, ABC Company established the following standards for each unit of its single product: standard quantity standard price direct materials 5 pounds $7.50 per pound direct labor 3 hours ????? per hour variable overhead 3 hours ????? per hour fixed overhead 3 hours $9.30 per hour The following information is available for the month of June: 1. Direct materials were purchased at a total cost of $259,000. 2. 15,000 direct labor hours were worked. 3. The variable overhead cost for the month totaled $88,900. 4. 4,000 units were produced. 5. The fixed overhead for the month totaled $96,250. 6. At June 30, there were 6,000 pounds of direct materials left. 7. The direct material price variance was $49,000 unfavorable. 8. The direct labor rate variance was $22,650 favorable. 9. The total direct labor variance was $12,750 unfavorable. 10. The total variable overhead variance was $24,700 unfavorable. 11. The fixed overhead spending variance was $6,050 favorable. Calculate the actual rate paid per hour to direct labor workers in June.
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