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Actual DLH
52,000 hrs
3.
Standard DL rates
P
8 per hour
Change in rate
(P55,120 UF/52,000 hrs)
1.06
UF
Actual DL rate
P
9.06
Total labor variance
P31,120 UF
Labor efficiency variance
24,000
F
Labor rate variance
P55,120
UF
[Problem 5]
1.
31,500 oz.
7.
(P10,150) F
2.
45,000 hrs.
8.
(P0.50) F
3.
(P0.05) F and (P1,500) F
9.
(P21,500) F
4.
(P1,400) F
10.
(P4.89) F
5.
(3,500) F
11.
(P22,000) F
6.
(8,750) F
12.
(P43,500) F
a.
Materials costs variance analyses:
Qty
.
Unit Price
Amount
Actual
28,000
P2.45
P68,600
Standard (4,500 x 7)
31,500
2.50
78,750
Variances – UF(F)
(3,500)
F
P
(0.05)
F
P(10,150)
F
MQV
=
(3,500) F x P2.50
=
P(8,750) F
MPPV
=
P(0.05) F x 30,000 oz
=
P(1,500) F
Mat. usage price var
=
P(0.05) F x 28,000 oz
=
P(1,400) F
b.
DL costs variance analyses:
Hrs.
Rate/ Hr.
Amount
Actual
43,000
P10.50
P451,500
Standard
(4,500 x 10)
45,000
11.00
495,000
Variances – UF(F)
(2,000)
F
P (0.50)
F
P(43,500)
F
LRV
=
P(0.50) F x 43,000
=
P(21,500)
F
LEV
=
(2,000) F x P11.00
=
P(22,000) F
LEV per unit
=
P(22,000) F
÷
4,500
=
P(4.89) F
[Problem 6]
1.
Materials cost variances:
Qty.
Unit Price
Amount
Actual (40,000 – 3,000)
37,000
P0.36
P13,320
Standard (6,200 x 6)
37,200
0.40
14,880
Variances – UF(F)
(200)
F
P(0.04)
F
P (1,560)
F
MPPV
=
P(0.04) F x 40,000
=
P(1,600) F
MQV
=
(200) F x P0.40
=
(80) F