320. Eliezrie Corporation makes a product with the following standard costs:
Standard Quantity
or Hours Standard Price
or Rate Standard Cost
Per Unit
Direct materials 6.5 kilos $1.00 per kilo $6.50
Direct labor 0.3 hours $10.00 per hour $3.00
Variable overhead 0.3 hours $4.00 per hour $1.20
In January the company’s budgeted production was 7,400 units but the actual production was
7,500 units. The company used 45,580 kilos of the direct material and 2,030 direct labor-hours to
produce this output. During the month, the company purchased 48,500 kilos of the direct material
at a cost of $53,350. The actual direct labor cost was $18,473 and the actual variable overhead
cost was $7,714.
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 January is:
321. Oddo Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per Unit
Direct materials 3.0 ounces $7.00 per ounce $21.00
Direct labor 0.7 hours $20.00 per hour $14.00
Variable overhead 0.7 hours $5.00 per hour $3.50
The company reported the following results concerning this product in December.
Originally budgeted output 4,400 units
Actual output 4,200 units
Raw materials used in production 12,820 ounces
Actual direct labor-hours 3,160 hours
Purchases of raw materials 14,500 ounces
Actual price of raw materials $6.80 per ounce
Actual direct labor rate $18.30 per hour
Actual variable overhead rate $5.10 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 December is:
322. Oddo Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per Unit
Direct materials 3.0 ounces $7.00 per ounce $21.00
Direct labor 0.7 hours $20.00 per hour $14.00
Variable overhead 0.7 hours $5.00 per hour $3.50
The company reported the following results concerning this product in December.
Originally budgeted output 4,400 units
Actual output 4,200 units
Raw materials used in production 12,820 ounces
Actual direct labor-hours 3,160 hours
Purchases of raw materials 14,500 ounces
Actual price of raw materials $6.80 per ounce
Actual direct labor rate $18.30 per hour
Actual variable overhead rate $5.10 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 December is:
323. Oddo Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per Unit
Direct materials 3.0 ounces $7.00 per ounce $21.00
Direct labor 0.7 hours $20.00 per hour $14.00
Variable overhead 0.7 hours $5.00 per hour $3.50
The company reported the following results concerning this product in December.
Originally budgeted output 4,400 units
Actual output 4,200 units
Raw materials used in production 12,820 ounces
Actual direct labor-hours 3,160 hours
Purchases of raw materials 14,500 ounces
Actual price of raw materials $6.80 per ounce
Actual direct labor rate $18.30 per hour
Actual variable overhead rate $5.10 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 December is:
324. Oddo Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per Unit
Direct materials 3.0 ounces $7.00 per ounce $21.00
Direct labor 0.7 hours $20.00 per hour $14.00
Variable overhead 0.7 hours $5.00 per hour $3.50
The company reported the following results concerning this product in December.
Originally budgeted output 4,400 units
Actual output 4,200 units
Raw materials used in production 12,820 ounces
Actual direct labor-hours 3,160 hours
Purchases of raw materials 14,500 ounces
Actual price of raw materials $6.80 per ounce
Actual direct labor rate $18.30 per hour
Actual variable overhead rate $5.10 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 December is:
325. Oddo Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per Unit
Direct materials 3.0 ounces $7.00 per ounce $21.00
Direct labor 0.7 hours $20.00 per hour $14.00
Variable overhead 0.7 hours $5.00 per hour $3.50
The company reported the following results concerning this product in December.
Originally budgeted output 4,400 units
Actual output 4,200 units
Raw materials used in production 12,820 ounces
Actual direct labor-hours 3,160 hours
Purchases of raw materials 14,500 ounces
Actual price of raw materials $6.80 per ounce
Actual direct labor rate $18.30 per hour
Actual variable overhead rate $5.10 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 December is:
326. Oddo Corporation makes a product with the following standard costs:
Standard Quantity or Hours Standard Price or Rate Standard Cost
Per Unit
Direct materials 3.0 ounces $7.00 per ounce $21.00
Direct labor 0.7 hours $20.00 per hour $14.00
Variable overhead 0.7 hours $5.00 per hour $3.50
The company reported the following results concerning this product in December.
Originally budgeted output 4,400 units
Actual output 4,200 units
Raw materials used in production 12,820 ounces
Actual direct labor-hours 3,160 hours
Purchases of raw materials 14,500 ounces
Actual price of raw materials $6.80 per ounce
Actual direct labor rate $18.30 per hour
Actual variable overhead rate $5.10 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 December is:
327. Tout Corporation makes a product that has the following direct labor standards:
Standard direct labor-hours 0.1 hours per unit
Standard direct labor rate $22.00 per hour
Standard cost $2.20 per unit
The company budgeted for production of 6,400 units in October, but actual production was 6,500
units. The company used 610 direct labor-hours to produce this output. The actual direct labor
rate was $21.80 per hour.
The labor efficiency variance for October is:
328. Tout Corporation makes a product that has the following direct labor standards:
Standard direct labor–hours 0.1 hours per unit
Standard direct labor rate $22.00 per hour
Standard cost $2.20 per unit
The company budgeted for production of 6,400 units in October, but actual production was 6,500
units. The company used 610 direct labor-hours to produce this output. The actual direct labor
rate was $21.80 per hour.
The labor rate variance for October is:
329. Holiday Chemical Corporation uses a standard cost system to collect costs related to the
production of its “bowling ball” fruitcakes. The direct labor standard for each fruitcake is 1.25
hours at a standard cost of $11.00 per hour. During the month of November, Holiday’s fruitcake
production used 9,820 direct labor-hours at a total direct labor cost of $106,547. This resulted in
production of 8,500 fruitcakes for November.
What is Holiday’s labor rate variance for November?
330. Holiday Chemical Corporation uses a standard cost system to collect costs related to the
production of its “bowling ball” fruitcakes. The direct labor standard for each fruitcake is 1.25
hours at a standard cost of $11.00 per hour. During the month of November, Holiday’s fruitcake
production used 9,820 direct labor-hours at a total direct labor cost of $106,547. This resulted in
production of 8,500 fruitcakes for November.
What is Holiday’s labor efficiency variance for November?
331. Taccone Corporation makes a product that has the following direct labor standards:
Standard direct labor-hours 0.3 hours per unit
Standard direct labor rate $20.00 per hour
In February the company produced 4,100 units using 1,120 direct labor-hours. The actual direct
labor rate was $20.40 per hour.
The labor efficiency variance for February is:
332. Taccone Corporation makes a product that has the following direct labor standards:
Standard direct labor-hours 0.3 hours per unit
Standard direct labor rate $20.00 per hour
In February the company produced 4,100 units using 1,120 direct labor-hours. The actual direct
labor rate was $20.40 per hour.
The labor rate variance for February is: