Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. parker plastic, inc., manufactures plastic mats to

Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost...

70.2K

Verified Solution

Question

Accounting

Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows:

Standard Quantity Standard Price (Rate) Standard Unit Cost
Direct materials (plastic) 8 sq ft. $ 0.63 per sq. ft. $ 5.04
Direct labor 0.26 hr. $ 10.50 per hr. 2.73
Variable manufacturing overhead (based on direct labor hours) 0.26 hr. $ 1.50 per hr. 0.39
Fixed manufacturing overhead $308,040 906,000 units) 0.34

Parker Plastic had the following actual results for the past year:

Number of units produced and sold 1,220,000
Number of square feet of plastic used 11,200,000
Cost of plastic purchased and used $ 6,720,000
Number of labor hours worked 305,000
Direct labor cost $ 3,233,000
Variable overhead cost $ 540,000
Fixed overhead cost $ 361,000

Required: Calculate Parker Plastics direct materials price and quantity variances. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

When σ is unknown and the sample is of size n ≥ 30, there are two...

Physics
1.2K views

   \(\int_{0}^{\pi}e^xsinx dx\) with n=6 subdivisions 1) Find the exact value of the integral 2) Approximate the integral...

General Management
1.2K views

Answer the following question in a composition of 10 to 20 sentences Imagine that you have two...

Biology
1.2K views

A collagen B silk fibroin C keratin 25 D cotton E nylon 24 is the...

Physics
1.2K views

1 Consider two npn transistors as shown in figure If 0 Volts corresponds to false...

Geometry
1.2K views

a softball player named Jen You were d to find the probability of Jen getting...

Basic Math
1.2K views

Nutritionists help people plan diets to improve their health Some diets are based on a...

Calculus
1.2K views

MORE VIDEOS Transcript Content attribution

Accounting
1.2K views

Sequoia (S Corporation) purchased the rights to cut timber on several tracts of...

Accounting
1.2K views

Research Standard Company has a relatively high profit margin on its sales, and Jewel Company...

Accounting
1.2K views

Break-even Sales and Cost-Volume-Profit Chart For the coming year, Cleves Company anticipates a unit selling...

Accounting
1.2K views

Utease Corporation has several production plants natlonwlde. A newly opened plant in Dubuque produces and...