65. Arrow Industries employs a standard cost system in which direct materials inventory is
carried at standard cost. Arrow has established the following standards for the prime costs of one
unit of product.
During November, Arrow purchased 160,000 pounds of direct materials at a total cost of $304,000.
The total factory wages for November were $42,000, 90% of which were for direct labor. Arrow
manufactured 19,000 units of product during November using 142,500 pounds of direct materials
and 5,000 direct labor hours.
What is the direct labor price (rate) variance for November?
66. Arrow Industries employs a standard cost system in which direct materials inventory is
carried at standard cost. Arrow has established the following standards for the prime costs of one
unit of product.
During November, Arrow purchased 160,000 pounds of direct materials at a total cost of $304,000.
The total factory wages for November were $42,000, 90% of which were for direct labor. Arrow
manufactured 19,000 units of product during November using 142,500 pounds of direct materials
and 5,000 direct labor hours.
Is the direct labor price (rate) variance favorable or unfavorable?
67. Arrow Industries employs a standard cost system in which direct materials inventory is
carried at standard cost. Arrow has established the following standards for the prime costs of one
unit of product.
During November, Arrow purchased 160,000 pounds of direct materials at a total cost of $304,000.
The total factory wages for November were $42,000, 90% of which were for direct labor. Arrow
manufactured 19,000 units of product during November using 142,500 pounds of direct materials
and 5,000 direct labor hours.
What is the direct labor efficiency variance for November?
68. Arrow Industries employs a standard cost system in which direct materials inventory is
carried at standard cost. Arrow has established the following standards for the prime costs of one
unit of product.
During November, Arrow purchased 160,000 pounds of direct materials at a total cost of $304,000.
The total factory wages for November were $42,000, 90% of which were for direct labor. Arrow
manufactured 19,000 units of product during November using 142,500 pounds of direct materials
and 5,000 direct labor hours.
Is the direct labor efficiency variance favorable or unfavorable?
69. The following information summarizes the standard cost for producing one metal tennis
racket frame. In addition, the variances for one month’s production are given. Assume that all
inventory accounts have zero balances at the beginning of the month.
What were the actual direct labor hours worked during the month?
70. The following information summarizes the standard cost for producing one metal tennis
racket frame. In addition, the variances for one month’s production are given. Assume that all
inventory accounts have zero balances at the beginning of the month.
What was the actual quantity of materials used during the month?
71. The following information summarizes the standard cost for producing one metal tennis
racket frame. In addition, the variances for one month’s production are given. Assume that all
inventory accounts have zero balances at the beginning of the month.
What was the actual price paid for the direct material during the month, assuming all materials
purchased were put into production?
72. Data on Goodman Company’s direct-labor costs are given below:
What was Goodman’s actual direct-labor rate?
73. Data on Goodman Company’s direct-labor costs are given below:
What was Goodman’s standard direct-labor rate?
74. Blue Company produces Trivets. Based on its master budget, the company should produce
1,000 Trivets each month, working 2,500 direct labor hours. During May, only 900 Trivets were
produced. The company worked 2,400 direct labor hours. The standard hours allowed for May
production would be:
75. Information on Barber Company’s direct labor costs for the month of January is as follows:
What is Barber’s direct labor price (rate) variance?
76. Information on Barber Company’s direct labor costs for the month of January is as follows:
Is the direct labor price (rate) variance favorable or unfavorable?
77. The following data pertains to the direct materials cost for the month of October:
What is the direct materials efficiency (quantity) variance?
78. The Landry Company has developed standards for labor. During June, 75 units were
scheduled and 100 were produced. Data related to labor are:
What is the labor rate variance for June?
79. Given the following information in standard costing:
What is the total direct labor cost variance?
80. Information for Nighttime Company’s direct labor cost for February is as follows:
What were the standard direct labor hours for February?
81.
What is the fixed overhead spending (budget) variance?
82.
Is the fixed overhead spending (budget) variance favorable or unfavorable?
83.
What is the production volume variance?
84.
Is the production volume variance favorable or unfavorable?