During April, 80,000 units of product were produced. The standard quantity of material allowed per unit was two pounds at a standard cost of $5 per pound. If there was a favorable materials usage variance of $40,000 for April, the actual quantity of materials used must have been   a. 168,000 pounds  b. 152,000 pounds

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A: Lets understand the basics. Direct labor efficiency variance indicates the variance between the…

Q: The standards for direct materials in making a certain product are 20 pounds at $0.75 per pound.…

A:

Q: Solly Corporation produces a product for national distribution. Standards for the product are: •…

A: Please find the answer to the above question below:

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Q: raig Company had the following standard

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A: Material price variance shows the difference in actual material cost from expected due to price with…

Q: The following materials standards have been established for a particular product: Standard quantity…

A: We know that, Material Price variance = (Standard price - actual price) * Actual quantity purchased…

Q: Assume the following: • The standard price per pound is $2.00. • The standard quantity allowed per…

A: Material price variance is the difference of the standard price and the actual price paid for the…

Q: Courington Detailing's cost formula for its materials and supplies is $2,010 per month plus $6 per…

A: Standard materials and supplies  cost = $2,010 per month + (Actual no. of vehicle x $6 per vehicle)…

Q: Gipple Corporation makes a product that uses a material with the quantity standard of 7.9 grams per…

A: Material price variance is computed when material is purchased. Material price variance  is…

Q: Kendra Company's standard labor cost of producing one unit of Product DD is 4 hours at the rate of…

A: Total labor variance = Actual labor cost - Standard labor cost

Q: Sierra Water Corporation uses a standard cost system for the production of its transistors. The…

A: Labor Efficiency Variance = (Standard labor hours allowed for actual output - Actual labor hours…

Q: Bounder Corp. purchased 22,000 pounds of materials in October at a total cost of $35,250. However,…

A: The variance is the difference between standard production and actual production data.

Q: SW has developed the following standards for one of its products: STANDARD VARIABLE COST CARD…

A: 1. Material Price variance= actual quantity (Standard price- Actual Price)   2. Labour efficiency…

Q: Exeter has a materials standard of 1 pound per unit of output. Each pound has a standard price of…

A: Direct Material price variance = (Actual Material price per pound - Standard Material price per…

Q: SW has developed the following standards for one of its products:  STANDARD VARIABLE COST CARD ONE…

A: Labour Efficiency Variance: It is the difference between actual number of direct labour hours worked…

Q: The per-unit standards for direct materials are 2 pounds at $5 per pound. Last month, 10200 pounds…

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

Q: At the beginning of the year, Craig Company had the following standard cost sheet for one of its…

A: Direct Material price variance = (Actual price per pound - Standard price per pound)*Actual quantity…

Q: 1. A quantity of a particular raw material was purchased for $43,250. The standard cost of the…

A: Material Price variance: (AQ X AP) – (AQ X SP)   if actual cost is less than standard cost, then…

Q: The standard cost of labor for the David Company's product is 2 hours of labor for each unit of…

A: Labor rate variance is computed by multiplying the actual quantity with the difference of standard…

Q: In September, AA Company produced 1,000 units of product. 2,080 units of raw materials were used at…

A: Standard hours allowed = Actual units x standard hour per unit =1000 x 1/2 hour = 500 hour Actual…

Q: The following materials standards have been established for a particular product: Standard quantity…

A: SOLUTION-   FORMULA- MATERIAL QUANTITY VARIANCE = (STANDARD QUANTITY-ACTUAL QUANTITY) *STANDARD…

Q: The following standards have been established for a raw material used in the production of product…

A: Formulas: Material price variance = (Actual material price per pound - Standard material price per…

Q: During August, 10,000 units were produced. The standard quantity of material allowed per unit was 10…

A: Material usage variance = (Standard quantity of material allowed- actual quantity of material…

Q: The following materials standards have been established for a particular product:     Standard…

A: Material quantity variance = (Actual quantity used - Standard quantity allowed)*Standard rate per…

Q: The per-unit standards for direct materials are 2 pounds at $5 per pound. Last month, 10400 pounds…

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Q: During June HASF company material purchases amounted to 5,000 pounds at a price of 7 per pound.…

A: Computation of material variance is as follows:

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A:

Q: The following materials standards have been established for a particular product:     Standard…

A:

Q: April Corporation developed the following per-unit standards for its product: 2 pounds of direct…

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Q: Lebron Co. manufactures product X with the following standard costs: Direct materials, 20 yards @…

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Q: During April, 80,000 units were produced. The standard quantity of material allowed per unit was 2…

A: The correct option is  161000 pounds

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A: Material price variance = (Standard price per pound - Actual price per pound)*Actual quantity…

Q: The following describes production activities of Mercer Manufacturing for the year. Actual direct…

A: Variance: Variance refers to the difference level in the actual cost incurred and standard cost. The…

Q: At the beginning of the year, Craig Company had the following standard cost sheet for one of its…

A:

Q: Williams Manufacturing Company has established the following materials standards for a particular…

A: Material quantity variance refers to the variance in the cost of material due to the difference in…

Q: 28.  During April, 80,000 units were produced. The standard quantity of material allowed per unit…

A: The variance is calculated as difference between actual and standard output.

Q: المحاسبهة الادارية نظر Clark Company manufactures a product with a standard direct labor cost of two…

A: The variance is the difference between the actual data and standard output of the production.

Q: The standards for direct materials in making a certain product are 20 pounds at $0.75 per pound.…

A: Material quantity variance shows difference between the actual amount of direct material used and…

Q: During December, 6,000 pounds of raw materials were purchased at a cost of $16 per pound. If there…

A: Actual cost incurred = 6,000 pounds x $16 = $96,000   Standard cost = Actual cost - Unfavorable…

Q: The standard cost of Product B includes 3 units of Direct Material at $5.00 per unit. During…

A: A. Material price variance = (Standard rate - Actual rate) * Actual quantity Material price variance…

Q: The standard cost for the David Company's product is 5 pounds of materials for each unit of product…

A: Material price variance = (Actual price per pound - Standard price per pound)*Actual quantity…

Q: exeter has a materials standard of 1 pound per unit of output. Each pound has a standard price of…

A: Direct material price variance = (Standard Price - Actual price) x Actual Quantity  = (Standard…

Q: Solly Corporation produces a product for national distribution. Standards for the product are: •…

A: Material Quantity Variance =  Standard price * ( Actual quantity - Standard quantity )

Q: Chhom Corporation makes a product whose direct labor standards are 0.8 hours per unit and $31 per…

A: Labor efficiency variance occurs due to the difference between the actual hours used and the…

Q: Alibaba Corp uses a standard costing system. The corp established the following direct materials…

A: Formula: Direct material price variance = ( Standard rate - Actual rate ) x Actual quantity

Q: The following materials standards have been established for a particular product:    Standard…

A: The direct material value fluctuation is the contrast between the actual value paid to obtain an…

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance. 

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.