Cost standards for one unit of product no. C77:Direct material 3 pounds at $2.50 per poundS7.50Direct labor 5 hours at $7.50 per hour37.50Actual results:Units produced 8,100 unitsDirect material purchased 26,600 pounds at$71,820$2.70Direct material used 24,000 pounds at $2.7064,800Direct labor 41,100o hours at $7.30300,03046.Assume that the company computes variances at the earliest point in time. The direct-material quantityvariance is:None of these.$5,750F.$5,750U.$750U.$750F.

Variance refers to a change between the expected value and the actual result. This term is usually…

Cost standards for one unit of product no. C77: Direct material 3 pounds at $250 per pound S7.50 Direct labor 5 hours at $7.50 per hour 37.50 Actual results: Units produced 8,100 units Direct material purchased 26,600 pounds at $71.820 S270 Direct material used 24,000 pounds at $2.70 64,800 Direct labor 41100 hours at S7.30 300,030 45.Assume that the company computes variances at the earliest point in time. The direct-material quantity variance is: None of these. $5,750F. $5,75OU. S75OU. S750F.

Cost standards for one unit of product no. C77: Direct material 3 pounds at $250 per pound S7.50 Direct labor 5 hours at $7.50 per hour 37.50 Actual results: Units produced 8,100 units Direct material purchased 26,600 pounds at $71.820 S270 Direct material used 24,000 pounds at $2.70 64,800 Direct labor 41100 hours at S7.30 300,030 45.Assume that the company computes variances at the earliest point in time. The direct-material quantity variance is: None of these. $5,750F. $5,75OU. S75OU. S750F.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 21E: Ellerson Company provided the following information for the last calendar year: During the year,...

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