Japan Company produces furniture and has the following data related to its direct labor costs: standard costs are 17,325 hours at an hourly rate of $15.00 per hour and actual costs are 19,250 hours at an hourly rate of $14.90 per hour. 7. What is the direct labor total cost variance? a. $26,950 Favorable b. $26,950 Unfavorable c. $30,800 Favorable d. $30,800 Unfavorable

Q: Hardigree Corporation makes a product that has the following direct labor standards: hours per 0.3…

A: Labor efficiency variance = (Actual hours worked - Standard hours allowed)*Standard rate per hour

Q: Greyson Company produced 8,300 units of product that required 4.25 standard hours per unit.…

A: FIXED FACTORY OVERHEAD VOLUME VARIANCE  = (STANDARD HOURS FOR 100% NORMAL CAPACITY - ACTUAL HOURS )…

Q: The following standard costs per unit, of one product, have been taken from the records of Bahrain…

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

Q: The following information describes a company's usage of direct labor in a recent period. The direct…

A: Direct Labor efficiency variance = (Actual hours worked - Standard hours allowed)*Standard rate per…

Q: Use the following data for questions #5-7 Japan Company produces furniture and has the following…

A: Direct labour time variance means difference in standard cost of labour and actual cost of labour…

Q: The standard number of hours that should have been worked for the output attained is 6,000 direct…

A: Direct Labor price variance: = Actual hours worked * (Standard rate - Actual rate)

Q: Ben mean company produces a product that requires 4 standard hours per unit at a standard hourly…

A: Given, Actual rate per hour = $11.85 Standard rate per hour = $12 Actual hours = 58,000 hours

Q: Assume the following information appears in the standard cost card for a company that makes only one…

A: Material Price Variance :— It is the difference between actual quantity of material at standard…

Q: Juhasz Corporation makes a product with the following standards for direct labor and variable…

A: Variable overhead variance - it is the difference between the budgeted variable overhead and the…

Q: Use this information to answer the question that follow. The standard costs and actual costs for…

A: Formulas: Fixed overhead variance = Actual fixed cost - Standard fixed cost

Q: A manufacturing company that has only one product has established the following standards for its…

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

Q: A company had net income of $60,000 on their direct (variable) costing Income Statement for a given…

A: According to the Variable costing income statement, the net income =$60,000. In Variable costing the…

Q: Penny Company manufactures only one product and uses a standard cost system. The following…

A: Direct Labor Variance: Direct labor cost variation is defined as the difference between the standard…

Q: The Russell Company provides the following standard cost data per unit of product: Direct material…

A: Lets understand basics, Direct labor usage variance is a variance between the standard labor hour…

Q: The following data relate to direct labor costs for the current period: Standard costs  7,500 hours…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Reddy Corporation has collected the following data for the month of June: Actual total factory…

A: Formula: Variable overhead efficiency variance = ( Standard hours - Actual hours ) x Standard rate

Q: Honesty Company uses standard costing for each specialized product.  The following information is…

A: Labor efficiency variance = (Actual hours worked - Standard hours allowed) x Standard rate per hour…

Q: Tina Company manufactures pans. Below is the information related to its direct material costs:…

A: Formulae for labour variance  Labour variance =  Actual hours *Actual rate -  actual hours *standard…

Q: The standard cost card for a product shows, Material cost 2 kg @ GH¢2.50 each = GH¢5.00 per unit…

A: Standard costing means where standard is set for various cost element and actual cost is then…

Q: A manufacturing company that has only one product has established the following standards for its…

A: To calculate: Variable overhead rate variance   Standard Variable overhead rate = $14.20 per DLH…

Q: Direct labor standard (4.00 hrs. @ $7.00/hr.) $ 28.00 per unit   Actual hours worked   12,650…

A: Direct labor cost variance is the difference between actual labor cost and standard labor cost due…

Q: The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of…

A: SOLUTION- The Variable factory overhead controllable variance is calculated by the following…

Q: Polaco Corporation makes a product that has the following direct labor standards: hours per 0.4 unit…

A: To calculate: Labor rate variance   Standard DLH rate = $24.00 per hour Actual DLH rate = $22.10 per…

Q: Descamps Incorporated has provided the following data concerning one of the products in its standard…

A: Variable overhead rate variance = Actual overhead - (Actual hours * Standard rate)

Q: Penny Company manufactures only one product and uses a standard cost system. The following…

A: Part (A) Total Standard Hours allowed  Direct Labor Time Variance = (Standard Hours - Actual Hours)…

Q: The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of…

A: Factory Overhead is the indirect cost consisting of indirect material, indirect labor, heating,…

Q: Tools-N-Time has a standard of 2 hours of labor per unit, at $12 per hour. In producing 2,000 units,…

A: Given the following information: Tools-N-Time has a standard of 2 hours of labor per unit, at $12…

Q: Williams Corporation reports the following direct labor information for November: Standard rate $…

A: Labor Price variance = (Actual rate per hour - Standard rate per hour)*Actual hours worked Labor…

Q: The Russell Company provides the following standard cost data per unit of product: Direct material…

A: Lets understand the basics. Direct labor usage variance is a variance between the standard labor…

Q: Dvorak Company produced 3,500 units of product that required 1.5 standard hours per unit. The…

A: Standard hours required = Actual units produced x Stnadrd hours  per unit = 3,500 units x 1.5 hour…

Q: Japan Company produces lamps that require 3 standard hours per unit at a standard hourly rate of…

A: Direct labor total cost variance = Direct labor Rate Variance + Direct labor time variance

Q: Use this information for Bonny Company to answer the question that follows. The standard costs and…

A: Except for direct materials and direct labor, factory overhead refers to all production costs. The…

Q: The following information was obtained from KMG Manufacturing Company.   Standard Data: Direct…

A: Formula: Direct labor rate variance = ( standard rate - Actual rate ) x Actual hours.

Q: The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of…

A: Fixed overhead allocated for actual production = (Budgeted hours per unit x Budgeted Fixed Overhead…

Q: Thompson Company uses a standard cost system for its single product. The following data are…

A: Given the following information: Actual experience for the year:Purchases of raw materials (15,000…

Q: The Russell Company provides the following standard cost data per unit of product:           Direct…

A: Direct material usage variance helps to determine the difference between the standard quantity of…

Q: Menounos Manufacturing Co. uses standard costs. Standard costs and actual costs for direct materials…

A: Definition:   Direct material variances:   The difference between the actual material cost per unit…

Q: Denver Enterprises recently used 14,000 labor hours to produce 7,500 completed units. According to…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Use the following data for questions #5-7 Japan Company produces furniture and has the following…

A: Direct labour rate variane is the difference in standard cost of labour with actual cost of labour…

Q: The Litton Company has established standards as follows: Direct material Direct Labor Variable…

A: Labour Rate Variance :— It is the difference between standard labour cost & actual labour cost.…

Q: standard for each toothpick motor is 1.25 hours at a standard cost of $9.50 per hour. During the…

A: The labour efficiency variance is the difference between the actual number of direct labour hours…

Q: Can you show me how this is done? How do I know if it is favorable or unfavorable? Bailey’s…

A: Direct Labor Efficiency Variance =  Standard Hours at Standard Rate – Actual Hours at Standard…

Q: Penny Company manufactures only one product and uses a standard cost system. The following…

A: 1) total  standard hours= 8,000 expalnation: Direct labor time variance =Standard rate per hour…

Q: $5,000 unfavorable

A: Ans is d.5000 unfavourable

Q: Adams Company’s standard labor cost of producing one unit of Product DD is 4.00 hours at the rate of…

A: (a) Compute direct labor variance.

Q: Bellingham Company produces a product that requires 3 standard direct labor hours per unit at a…

A: Variance in direct labour costs means difference in standard labour costs and actual labour costs.

Q: Thompson Company uses a standard cost system for its single product. The following data are…

A: Please see the next step for the solution

Q: Titus Company produced 6,800 units of a product that required 3 standard hours per unit. The…

A: Fixed overhead volume variance = Absorbed fixed overhead - Budgeted fixed overhead If the absorbed…

Q: Dvorak Company produced 3,500 units of product that required 1.5 standard hours per unit. The…

A: Fixed overhead volume variance is the amount of fixed overhead actually incurred over and above the…

Q: Penny Company manufactures only one product and uses a standard cost system. The following…

A: Labor Time Variance = Standard Rate x (Standard Hours - Actual Hours) Labor Rate Variance = Actual…

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.