Rudd Clothiers is a small company that manufactures tall-men's suits. The company has used a...
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Accounting
Rudd Clothiers is a small company that manufactures tall-men's suits. The company has used a standard cost accounting system. In May 2017, 11,250 suits were produced. The following standard and actual cost data applied to the month of May when normal capacity was 14,000 direct labor hours. All materials purchased were used. Cost Element Direct materials Direct labor Overhead Standard (per unit) Actual 8 yards at $4.40 per yard 1.2 hours at $13.40 per hour 1.2 hours at $6.10 per hour (fixed $3.50; variable $2.60) $375,575 for 90,500 yards ($4.15 per yard) $200,925 for 14,250 hours ($14.10 per hour) $49,000 fixed overhead $37,000 variable overhead Overhead is applied on the basis of direct labor hours. At normal capacity, budgeted fixed overhead costs were $49,000, and budgeted variable overhead was $36,400 Compute the total, price, and quantity variances for (1) materials and (2) labor. (Round answers to 0 decimal places, e.g. 125.) Total materials variance Materials price variance Materials quantity variance Total labor variance (1) s (2) Labor price variance Labor quantity variance Compute the total overhead variance Total overhead variance s
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