Compute the materials price variance
5.
ABC company has set the following standard for one unit of product: Direct materials:
0.5 pounds @ $1.00 per pound; direct labor :1 hour @ $10.00 per hours. The company
produced 35,000 units and had the following actual costs: Direct materials: 18,000
pounds at a total cost of $17,280; Direct labor: 36,000 hours at a total cost of $374,000.
Compute the total materials variance
6.
XYZ company makes one product and has calculated the following amounts for direct
materials: AQ * AP = $150,000; AQ * SP = $145,000; SQ * SP= $152,000. Compute the
total materials cost variance
7.
XYZ company makes one product and has calculated the following amounts for direct
materials: AQ * AP = $150,000; AQ * SP = $145,000; SQ * SP= $152,000. Compute the
total materials cost variance
8.
XYZ company makes one product and has calculated the following amounts for direct
materials: AQ * AP = $150,000; AQ * SP = $145,000; SQ * SP= $152,000. Compute the
materials quantity variance
9.
A manufacturing company has variable overhead costs of $2.50 per unit and fixed costs
of $5,000 per month. Each unit requires 4 hours of direct labor and the company expects
to produce 2,000 units each month. The standard overhead rate will be
$1.25
per direct
labor hour
10.
A company sells a product for $3. The company prepares a flexible budget at two sales
volumes. At a sales volume of 50 units, budgeted sales will be
$150.
At a sales volume of
60 units, budgeted sales will be
$180
11.
Standard costs have which of the following characteristics?
12.
Match cost variance components to its definition
a.
Actual quantity--- the input used to manufacture the quantity of output
b.
