Rate variance: It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour. Time variance: It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour. Direct labour spending variance: This is calculated by combining material price variance and material quantity variance. To compute: The direct labor rate, efficiency and spending variances.

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Answer 1

Question

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

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Answer 2

Question

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

Expert Solution & Answer

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Answer 3

Question

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

Expert Solution & Answer

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Answer 4

Question

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

Expert Solution & Answer

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Answer 5

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

Answer 6

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

Answer 7

Chapter 9, Problem 8ME

To determine

Concept introduction:

Rate variance:

It is referred to as the amount which is computed by multiplying the number of actual hours with the difference between actual rate and standard rate per hour of direct labour.

Time variance:

It is referred to as the amount which is computed by multiplying the standard rate per hours with the difference between the number of actual hours and standard hours of direct labour.

Direct labour spending variance:

This is calculated by combining material price variance and material quantity variance.

To compute:

The direct labor rate, efficiency and spending variances.

Answer 8

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Answer 9

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Answer 10

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Answer 11

Ch. 9 - Briefly describe the difference between budgetary...Ch. 9 - What are standard costs? When are they set?Ch. 9 - Prob. 3Q Ch. 9 - Prob. 4Q Ch. 9 - Prob. 5Q Ch. 9 - Prob. 6Q Ch. 9 - Prob. 7Q Ch. 9 - Prob. 8Q Ch. 9 - Prob. 9Q Ch. 9 - How do the master budget, flexible budget, and...

Solution Summary: The author explains how the rate variance is calculated by multiplying the number of actual hours and the standard rate per hour of direct labour.

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