Required: 1. Compute a materials price variance for the plates purchased last month and a materials quantity variance for the plates used last month. 2. For labor cost in the lab: a. Compute a labor rate variance and a labor efficiency variance. b. In most hospitals, one-haif of the workers in the lab are senior technicians and one-half are assistants. In an effort to reduce costs: Valley View Hospital employs only one-fourth senior technicians and three-fourths assistants. Would you recommend this policy be continued? 3-a. Compute the variable overhead rate and efficiency variances. 3.b. Is there any relation between the variable overhead efficiency variance and the labor efficiency variance? Complete this question by entering your answers in the tabs below. For labor cost in the lab, Compute a labor rate variance and a labor efficiency variance. Note: Indicate the effect of each variance by selecting "F" for favorable, " U " for unfavorable, and "None" for no effect (i.e." zero variance). Input all amounts as positive values. zero variance). Input all amounts as positive values. Aequired: 1. Compute a materials price variance for the plates purchased last month and a materials quantity variance for the plates used last month. 2. For labor cost in the lab: a. Compute a labor rate vanance and a labor efficiency variance. b. In most hospitals, one-thaif of the workers in the lab are senior technicians and one-half are assistants, in an effort to reduce costs. Valley View. Hospital employs only one-fourth senior technicians and three-fourths assistants. Would you recommend this policy be continued? 3-a. Compute the variable overhead rate and efficiency variances. 3-b. Is there any relation between the variable overhead efficiency varuance and the labor efficiency variance? Complete this question by entering your answers in the tabs below. Compute is materiais price variance for the plates purchased last month and a materials quantity variance for the plates used last month. Note: indicate the effect of each variance by selecting "F" for foworable, "U" for unfavorable, and "None" for no effect (Le. zelo variance), trpit alf chounts as poptive volues. John Fleming, chief administrator for Valey View Hospital, is concerned about the costs for tests in the hospitar's lab. Charges for lab tests are consistenty higher at Valley View than other hospitals and have tesulted in mamy complaints Aso, because of strict regulations on amounts reimbursed for lab tests, payments received fiom insurance compunies ond governmental units have not been high enough to cover lab costs: Mr. Fleming asked you to evaluate costs in the hospital's lab for the past month. The foliowing information is available: a. Two types of teats are performed in the lab-blood tests and smears. During the past month, 350 blood tests and 2,300 smears wreve performed in the lab. b. 5 mall glass plates are used in both types of tests. During the past month, the hosptal Durchased 11,500 pletes at a cast of $27,025 1300 of Dhese plates were unused at the end of the month; no plates were on fand at the beginning of the month c. During the past month. 1,300 hours of labor time were recorded in the lab at a cost of 513,585 d. The lab's variable overhead cost last month totaled 58.970 . Valley Vew Hospeal has never uted standard costs. By searching industry literatue, however, you determined the following nationwide averages for hosplal labs: Arafes Three plates are required per iab test. These plates cost 52.50 each and are disposed of after the test is compieted Labor: Each blood test should require 0.6 hour to complete, and each smear shouid require 0.30 hour to complete, The average cost of this lab time is $1130 per hour. Overherat Overthead cost is based on direct laborhours. The average rase for variable overthead is $6.40 per hour. Required: 1. Compute a materials perce variance for the plates purchased tast month and a moterisit quarvity variance for the plates used last month. 2. For labor cost in the lab: a. Compule a labor rate variance and a labor efficiency variance. b in most hosptais, one-haif of the workers in the lab are senior technicians and one-haif are assistants, in an eflort to reduce costs, Required: 1. Compute a materials price variance for the plates purchased last month and a materials quantity variance for the plates used last month. 2. For labor cost in the lab: a. Compute a labor rate variance and a labor efficiency variance. b. in most hospitals, one-haif of the workers in the iab are senior technicians and one-half are assistants. In an effort to reduce costs, Valiey View Hospital employs only one-fourth senior technicians and three-founths assistants. Would you recommend this policy be continued? 3-a. Compute the variable cverhead rate and efficiency variances. 3b. Is there any relation between the variable overhead efficiency variance and the labor efficiency variance? Complete this question by entering your answers in the tabs below. Is there amy relation between the variable overhesd efficlency variance and the labor efficiency variance? Required: 1. Compute a materials price variance for the plates purchased last month and a materials quantify variance for the plates used last month. 2. For labor cost in the lab: a. Compute a labor rate varionce and a labor efficiency variance. b. In most hospitals, one-half of the workers in the lab are senior technicians and one-hay are assistants, in an effort to reduce costs, Valley View Hospital employs only one-fourth senior technicians and three-fourths assistants. Would you recommend this policy be continued? 3-a. Compute the variable overhead rate and efficiency variances. 3-b. Is there any relation between the variable overhead efficiency variance and the labor efficlency variance? Complete this question by entering your answers in the tabs below. Compute the variable overhesd rate and efficiency variances. zero variance) Input all amounts as positive values: Required: 1. Compute a materials price variance for the plates purchased last month and a materials quantity variance for the plates used last month. 2. For labor cost in the lab: a. Compute a labot rate variance and a labor efficiency variance. b. In most hospitals, one-haif of the workers in the lab are senior technicians and one-haif are assistants in an effort to reduce costs, Valley View Hospital employs only one-fourth senior technicians and three-fourths assistants. Would you recommend this policy be continued? 3-a. Compule the variable overhead rate and efficiency variances 3.b. Is there any relation between the variable overhead efficiency variance and the labor efficiency variance? Complete this question by entering your answers in the tabs below. In most hospitais, one-half of the workers in the lab are senior technicians and onet-haif are assistants. In an effort to reduce costs, Valier View Hospital empioys only one-fourth senior Cechniciars and three-fourths assistants. Would vou recornmend that this policy be continued