70.2K

Verified Solution

Link Copied!

Diane Buswell examined some of the accounting records and reported that Current Designs purchased 1,860 pounds of polyethylene powder for this order at a total cost of $3,162. Thirty (30) finishing kits were assembled at a total cost of $4,980. The payroll records showed that the type l employees worked 86 hours on this project at a total cost of $946. The type ll finishing employees worked 129 hours at a total cost of $1,096.50. A total of 30 kayaks were produced for this order. The standards that had been developed for this model of kayak were used in CD2 and are reproduced here. For each kayak: 58 pounds of polyethylene powder at $1.50 per pound 1 finishing kit (rope, seat, hardware, etc.) at $172 3 hours of type I labor from people who run the oven and trim the plastic at a standard wage rate of $11 per hour 4 hours of type Il labor from people who attach the hatches and seat and other hardware at a standard wage rate of $8 per hour. Calculate the eight variances that are listed below. (Round price variance for type II workers to 2 decimal places, eg. 15.25 and all other answers to decimal places, e.g. 25) Calculate the eight variances that are listed below. (Round price variance for type I workers to 2 decimal places, eg. 15.25 and all other answers to 0 decimal places, eg. 25.) Quantity variance for polyethylene powder $ $ Price variance for polyethylene powder > Quantity variance for finishing kits $

Answer & Explanation Solved by verified expert

See Answer