Marketing and administrative cost variances are treated differently from production cost variances. a. The fixed production cost variance is the difference between flexible budget and master budget costs. c. Variable cost variances are output variances. Profit variance analysis shows the causes of differences between budgeted profits and the actual profits earned. b. d. stnd oad pumned The following information is for questions 35 - 38. Planned Actual results Budget data 19,000 units planned 20,000 units produced and sold Direct materials: 62,300 units of input purchased and used @ $29 per input unit Direct materials: 3 units of input allowed per output unit @ $30 per input unit $1,806,700 $90 Direct labor: 51,500 hours used @ $21.50 per hour Direct labor: 2.5 hours of input allowed per output unit @ $20 per hour 50 1,107,250 35. What is the materials price variance? a. $62,300 Unfavorable. 6. $62,300 Favorable c. $69,000 Favorable. d. $77,250 Favorable AP 292930 At 36. What is the materials total cost variance? a. $7,500 Unfavorable. b. $11,250 Unfavorable. c. $7,500 Favorable. d. $6,700 Unfavorable. AQ 2000s 201 AP 37. What is the labor price variance? a $77,250 Unfavorable b. $30,000 Unfavorable. c. $62,300 Favorable. d. $69,000 Unfavorable. A6 51 21.50 AQ 300 0 5150. 107320 fficiency variance?
Marketing and administrative cost variances are treated differently from production cost variances. a. The fixed production cost variance is the difference between flexible budget and master budget costs. c. Variable cost variances are output variances. Profit variance analysis shows the causes of differences between budgeted profits and the actual profits earned. b. d. stnd oad pumned The following information is for questions 35 - 38. Planned Actual results Budget data 19,000 units planned 20,000 units produced and sold Direct materials: 62,300 units of input purchased and used @ $29 per input unit Direct materials: 3 units of input allowed per output unit @ $30 per input unit $1,806,700 $90 Direct labor: 51,500 hours used @ $21.50 per hour Direct labor: 2.5 hours of input allowed per output unit @ $20 per hour 50 1,107,250 35. What is the materials price variance? a. $62,300 Unfavorable. 6. $62,300 Favorable c. $69,000 Favorable. d. $77,250 Favorable AP 292930 At 36. What is the materials total cost variance? a. $7,500 Unfavorable. b. $11,250 Unfavorable. c. $7,500 Favorable. d. $6,700 Unfavorable. AQ 2000s 201 AP 37. What is the labor price variance? a $77,250 Unfavorable b. $30,000 Unfavorable. c. $62,300 Favorable. d. $69,000 Unfavorable. A6 51 21.50 AQ 300 0 5150. 107320 fficiency variance?
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter9: Evaluating Variances From Standard Costs
Section: Chapter Questions
Problem 1PB: Direct materials and direct labor variance analysis Lenni Clothing Co. manufactures clothing in a...
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