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283. Beakins Corporation produces a single product. The standard cost card for the product
follows:
Direct materials (4 yards × $5 per yard) $20
Direct labor (1.5 hours × $10 per hour) $15
Variable manufacturing overhead (1.5 hrs × $4 per hour) $6
During a recent period the company produced 1,200 units of product. Various costs associated
with the production of these units are given below:
Direct materials purchased (6,000 yards) $28,500
Direct materials used in production 5,000 yards
Direct labor cost incurred (2,100 hours) $17,850
Variable manufacturing overhead cost incurred $10,080
The company records all variances at the earliest possible point in time. Variable manufacturing
overhead costs are applied to products on the basis of standard direct labor-hours.
The variable overhead rate variance for the period is:
284. Beakins Corporation produces a single product. The standard cost card for the product
follows:
Direct materials (4 yards × $5 per yard) $20
Direct labor (1.5 hours × $10 per hour) $15
Variable manufacturing overhead (1.5 hrs × $4 per hour) $6
During a recent period the company produced 1,200 units of product. Various costs associated
with the production of these units are given below:
Direct materials purchased (6,000 yards) $28,500
Direct materials used in production 5,000 yards
Direct labor cost incurred (2,100 hours) $17,850
Variable manufacturing overhead cost incurred $10,080
The company records all variances at the earliest possible point in time. Variable manufacturing
overhead costs are applied to products on the basis of standard direct labor-hours.
The variable overhead efficiency variance for the period is:
285. Biery Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Direct materials 1.3 liters $6.00 per liter
Direct labor 0.6 hours $19.00 per hour
Variable overhead 0.6 hours $3.00 per hour
The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct
labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80
per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate
was $2.90 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The materials quantity variance for April is:
286. Biery Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Direct materials 1.3 liters $6.00 per liter
Direct labor 0.6 hours $19.00 per hour
Variable overhead 0.6 hours $3.00 per hour
The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct
labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80
per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate
was $2.90 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The materials price variance for April is:
287. Biery Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Direct materials 1.3 liters $6.00 per liter
Direct labor 0.6 hours $19.00 per hour
Variable overhead 0.6 hours $3.00 per hour
The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct
labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80
per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate
was $2.90 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The labor efficiency variance for April is:
288. Biery Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Direct materials 1.3 liters $6.00 per liter
Direct labor 0.6 hours $19.00 per hour
Variable overhead 0.6 hours $3.00 per hour
The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct
labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80
per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate
was $2.90 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The labor rate variance for April is:
289. Biery Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Direct materials 1.3 liters $6.00 per liter
Direct labor 0.6 hours $19.00 per hour
Variable overhead 0.6 hours $3.00 per hour
The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct
labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80
per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate
was $2.90 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The variable overhead efficiency variance for April is:
290. Biery Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Direct materials 1.3 liters $6.00 per liter
Direct labor 0.6 hours $19.00 per hour
Variable overhead 0.6 hours $3.00 per hour
The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct
labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80
per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate
was $2.90 per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The variable overhead rate variance for April is:
291. Galla Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per
Unit
Direct materials 8.2 pounds $7.00 per pound $57.40
Direct labor 0.4 hours $20.00 per hour $8.00
Variable overhead 0.4 hours $2.00 per hour $0.80
The company budgeted for production of 2,400 units in June, but actual production was 2,500
units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce
this output. The company purchased 21,700 pounds of the direct material at $6.70 per pound.
The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80
per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The materials quantity variance for June is:
292. Galla Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Standard Cost Per Unit
Direct materials 8.2 pounds $7.00 per pound
$57.40
Direct labor 0.4 hours $20.00 per hour $8.00
Variable overhead 0.4 hours $2.00 per hour $0.80
The company budgeted for production of 2,400 units in June, but actual production was 2,500
units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce
this output. The company purchased 21,700 pounds of the direct material at $6.70 per pound.
The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80
per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The materials price variance for June is:
293. Galla Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Standard Cost Per Unit
Direct materials 8.2 pounds $7.00 per pound
$57.40
Direct labor 0.4 hours $20.00 per hour $8.00
Variable overhead 0.4 hours $2.00 per hour $0.80
The company budgeted for production of 2,400 units in June, but actual production was 2,500
units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce
this output. The company purchased 21,700 pounds of the direct material at $6.70 per pound.
The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80
per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The labor efficiency variance for June is:
294. Galla Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Standard Cost Per Unit
Direct materials 8.2 pounds $7.00 per pound
$57.40
Direct labor 0.4 hours $20.00 per hour $8.00
Variable overhead 0.4 hours $2.00 per hour $0.80
The company budgeted for production of 2,400 units in June, but actual production was 2,500
units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce
this output. The company purchased 21,700 pounds of the direct material at $6.70 per pound.
The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80
per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The labor rate variance for June is:
295. Galla Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Standard Cost Per Unit
Direct materials 8.2 pounds $7.00 per pound
$57.40
Direct labor 0.4 hours $20.00 per hour $8.00
Variable overhead 0.4 hours $2.00 per hour $0.80
The company budgeted for production of 2,400 units in June, but actual production was 2,500
units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce
this output. The company purchased 21,700 pounds of the direct material at $6.70 per pound.
The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80
per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The variable overhead efficiency variance for June is:
296. Galla Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate
Standard Cost Per Unit
Direct materials 8.2 pounds $7.00 per pound
$57.40
Direct labor 0.4 hours $20.00 per hour $8.00
Variable overhead 0.4 hours $2.00 per hour $0.80
The company budgeted for production of 2,400 units in June, but actual production was 2,500
units. The company used 19,850 pounds of direct material and 980 direct labor-hours to produce
this output. The company purchased 21,700 pounds of the direct material at $6.70 per pound.
The actual direct labor rate was $19.20 per hour and the actual variable overhead rate was $1.80
per hour.
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The variable overhead rate variance for June is:
297. Gilder Corporation makes a product with the following standard costs:
Standard Quantity or
Hours Standard Price or
Rate Standard Cost Per
Unit
Direct materials 7.6 grams $6.00 per gram $45.60
Direct labor 0.1 hours $16.00 per hour $1.60
Variable overhead 0.1 hours $6.00 per hour $0.60
The company reported the following results concerning this product in June.
Originally budgeted output 5,400 units
Actual output 5,500 units
Raw materials used in production 39,200 grams
Purchases of raw materials 44,100 grams
Actual direct labor-hours 510 hours
Actual cost of raw materials purchases $260,190
Actual direct labor cost $7,803
Actual variable overhead cost $2,754
The company applies variable overhead on the basis of direct labor-hours. The direct materials
purchases variance is computed when the materials are purchased.
The materials quantity variance for June is:
