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Category > Management Posted 02 Feb 2018 My Price 7.00

Lenni Clothing Co

direct materials and direct labor variance analysis

 

Lenni Clothing Co. manufactures clothing in a small manufacturing facility. Manufacturing has 25 employees. Each employee presently provides 40 hours of productive labor per week. Information about a production week is as follows:

 

 

 

Standard wage per hr.                                                                                                         $12.00

 

Standard labor time per unit                                                                                        12 min.

 

Standard number of yds. of fabric per  unit                                                        5.0 yds.

 

Standard price per yd. of fabric                                                                                       $5.00

 

Actual price per yd. of fabric                                                                                             $5.10

 

Actual yds. of fabric used during the  week                                               26,200 yds.

 

Number of units produced during the week                                                          5,220

 

Actual wage per hr.                                                                                                               $11.80

 

Actual hrs. for the week                                                                                               1,000 hrs.

 

 

instructions

Determine (a) the standard cost per unit for  direct  materials  and  direct  labor;  (b) the price variance, quantity variance, and total direct materials cost variance; and (c) the rate variance, time variance, and total direct labor cost variance.

 

Answers

Maurice Tutor
(5)
Status NEW Posted 02 Feb 2018 11:02 PM My Price 7.00

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