80.2K

Verified Solution

Link Copied!

eBook Show Me How Question Content Area Direct Materials and Direct Labor Variance Analysis Shasta Fixture Company manufactures faucets in a small manufacturing facility. The faucets are made from brass. Manufacturing has 30 employees. Each employee presently provides 36 hours of labor per week. Information about a production week is as follows: Standard wage per hour $15.60 Standard labor time per unit 20 min. Standard number of lbs. of brass 1.4 lbs. Standard price per lb. of brass $11.25 Actual price per lb. of brass $11.50 Actual lbs. of brass used during the week 9,517 lbs. Number of units produced during the week 6,600 Actual wage per hour $16.07 Actual hours for the week (30 employees 36 hours) 1,080 Required: a. Determine the standard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places. Direct materials standard cost per unit $ fill in the blank 1 Direct labor standard cost per unit $ fill in the blank 2 Total standard cost per unit $ fill in the blank 3 b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Materials Price Variance $ fill in the blank 4 FavorableUnfavorable Direct Materials Quantity Variance $ fill in the blank 6 FavorableUnfavorable Total Direct Materials Cost Variance $ fill in the blank 8 FavorableUnfavorable c. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Labor Rate Variance $ fill in the blank 10 FavorableUnfavorable Direct Labor Time Variance $ fill in the blank 12 FavorableUnfavorable Total Direct Labor Cost Variance $ fill in the blank 14

Direct Materials and Direct Labor Variance Analysis Shasta Fixture Company manufactures faucets in a small manufacturing facility. The faucets are made from brass. Manufacturing has 30 employees. Each employee presently provides 3bth hours of labor per week. Information about a production week is as follows: a. Determine the sitandard cost per unit for direct materials and direct labor. Round the cost per unit to two decimal places. b. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance, Round your answers to the nearest whole dollar. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. the nearest whole dollar. Enter a fayorable variance as a negative number using a minus sion and an unfayvorable variance as a Whole dollar. Enter a fivorable vatiance-as a neoutwe nomber usity a minus sign and an thavorable variance as a positive number

Answer & Explanation Solved by verified expert

See Answer