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BatCo makes metal baseball bats. Each bat requires 1.00 kg of aluminum at $20 per...

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Accounting

BatCo makes metal baseball bats. Each bat requires 1.00 kg of aluminum at $20 per kg and 0.20 direct labor hours at $22 per hour. Overhead is assigned at the rate of $32 per direct labor hour.

QS 23-6 Cost variances LO C2

Assume the actual cost to manufacture one metal bat is $36.80. Compute the cost variance and classify it as favorable or unfavorable.

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