Q1:Which of the following would explain anunfavorable Direct Materials Quantity Variance inthe manufacturing...Q1:Which of...

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Accounting

Q1:
Which of the following would explain anunfavorable Direct Materials Quantity Variance inthe manufacturing area of an all wood table manufacturer:
A.Scrap costs related to wood has decreased 5% during theperiod.
B.The cost per Board Foot of lumber has increased by 10%.
C.Factory Depreciation on machinery used to cut woodincreased.
D.Less experienced machine operators were used during the periodwhich increased scrap.
Q2:
A favorable Labor Rate variance:
A.indicates that the time it took to make a unit this period waslower than Standard.
B.indicates that the wage rate paid to direct laborers was lowerthan Standard.
C.indicates that the wage rate paid to direct laborers washigher than Standard.
D.can only occur if there is a favorable Labor Timevariance.
Q3:
The Atlantic Company sells a product with a break-even point of6,117 sales units. The variable cost is $67 per unit, and fixedcosts are $171,276.
Determine the unit sales price. Round answer to nearest wholenumber.
$
Determine the break-even points in sales units if the companydesires a target profit of $52,724. Round answer to the nearestwhole number.
units

Answer & Explanation Solved by verified expert

3.6 Ratings (544 Votes)

Q1 Answer is option D Less experienced machine operators were used during the period which increased scrap Explanation As we know that when less experienced machine operators were used during the period which increased See Answer

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In: AccountingQ1:Which of the following would explain anunfavorable Direct Materials Quantity Variance inthe manufacturing...Q1:Which of the following would explain anunfavorable Direct Materials Quantity Variance inthe manufacturing area of an all wood table manufacturer:A.Scrap costs related to wood has decreased 5% during theperiod.B.The cost per Board Foot of lumber has increased by 10%.C.Factory Depreciation on machinery used to cut woodincreased.D.Less experienced machine operators were used during the periodwhich increased scrap.Q2:A favorable Labor Rate variance:A.indicates that the time it took to make a unit this period waslower than Standard.B.indicates that the wage rate paid to direct laborers was lowerthan Standard.C.indicates that the wage rate paid to direct laborers washigher than Standard.D.can only occur if there is a favorable Labor Timevariance.Q3:The Atlantic Company sells a product with a break-even point of6,117 sales units. The variable cost is $67 per unit, and fixedcosts are $171,276.Determine the unit sales price. Round answer to nearest wholenumber.$Determine the break-even points in sales units if the companydesires a target profit of $52,724. Round answer to the nearestwhole number.units