Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the grayson company uses standard costs to account

The Grayson Company uses standard costs to account for its production of a specialty...

60.1K

Verified Solution

Question

Accounting

The Grayson Company uses standard costs to account for its production of a specialty cleaning product called Green Clean. The
standard cost of materials and direct labour to produce one bottle of Green Clean is as follows:
Both material A and material B are added at the start of the process. Production data for June 2016 are as follows:
a. Beginning work in process, 5,000 units, 25% complete.
b. Started during June, 18,000 units.
c. Ending work in process, 6,000 units, 60% complete.
d. No units were spoiled.
e.28,000 litres of material A was issued to production.
f.12,000 litres of material B was used during June.
g. Direct labour worked totalled 4,800 hours at a cost of $50,000 for the month.
Required:
Determine all of the material and labour variances possible from the preceding data for the month of June. (Indicate the effect of each
variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (i.e., zero variance).)
image

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

Finance
1.2K views

Nonconstant Growth Stock Valuation Assume that the average firm in your company's industry is expected to grow...

Finance
1.2K views

Estimate discount rate using CAPM (Please provide details on your estimation. You need to estimate risk...

Advance Math
1.2K views

Solve the initial value problem below using the method of Laplace transforms. y''+7y'+12y=-7cost-9sint y(pi/2)=1 y'(pi/2)=0

Biology
1.2K views

Introduction TO ECOLOGY Define ecology and state in one sentence, its importance for understanding the environment. List biotic and...

Chemistry
1.2K views

Find the pH during the titration of 20.00 mL of 0.1590 M nitrous acid, HNO2 (Ka...

Civil Engineering
1.2K views

How do you utilise the Homer Pro optimiser or search space to identify the optimal number...

Mechanical Engineering
1.2K views

Ai inventor proposes a four -stroke cycle running on helium. The engine has a compression ratio...

Finance
1.2K views

What is the PEST analysis of Arab Bank Australia Limited? ( Please provide with the links...

Biology
1.2K views

What is the difference in tone or type of sound between the two flutes

Accounting
1.2K views

Vetermne the tax liability, margnal tax rate, and average tax rate in each of the...

Finance
1.2K views

Travis, Inc., has sales of $388,000, costs of $176,000, depreciation expense of $41,000, interest expense...

Accounting
1.2K views

SkyChefs, Incorporated, prepares in-flight meals for a number of major airlines. One of the company's...