Materials and labor variances

Assignment Help Accounting Basics
Reference no: EM13764725

Materials and Labor Variances

Last year Vera Corporation budgeted for production and sales of 20,000 cloth handbags. Vera produced and sold 19,250 handbags. Each handbag has a standard requiring 4 feet of material at a budgeted cost of $2.50 per foot and 45 minutes of sewing time at a cost of $0.28 per minute. The handbags sell for $45.00. Actual costs for the production of 18,000 handbags were $201,600 for materials (80,000 feet at $2.52 per foot) and $260,400 for labor (868,000 minutes at $0.30 per minute).

Questions:

A. What is the handbag's direct material price variance?

B. What is the handbag's direct material usage variance?

C. What is the handbag's direct labor rate variance?

D. What is the handbag's direct labor efficiency variance?

Reference no: EM13764725

Questions Cloud

Using accounting information to buy stocks : In two to three paragraphs, describe the Sarbanes-Oxley Act and why it is important to the accounting profession.
Prepare a direct labor budget for january : Prepare a direct labor budget for January through June. Direct labor averages $15 per hour. Prepare a manufacturing overhead budget for the same period.
What is the ringi system : What is the ringi system? How does the ringi system facilitate the productivity of an organizational team? What are the theoretical approaches to motivation?
Creating a program that writes to a data file : Creating a program that writes to a data file called Celtofarendfile.txt using the end of file structure. The program should create a conversion table of Celsius to Fahrenheit from 0 to 100 Celsius in increments of 5.
Materials and labor variances : Last year Vera Corporation budgeted for production and sales of 20,000 cloth handbags. Vera produced and sold 19,250 handbags. Each handbag has a standard requiring 4 feet of material at a budgeted cost of $2.50 per foot and 45 minutes of sewing t..
Testing documentation algorithm. : Your assignment files should be zipped into single file named your username.zip, and submitted on blackboard.
What are three pricing policies used by international firms : What are the three pricing policies used by international firms? What international marketing approaches are typically associated with each pricing policy?
Evaluate the importance quality of service has to designers : Evaluate the importance quality of service has to designers. Choose two areas discussed in the textbook you would focus your attention to ensure quality of service for a team of designers that you were managing. Justify your choices.
Financial statement and notes of a public company : In the United States, a public company's financial statements must be according to Generally Accepted Accounting Principles (GAAP). These principles are cost, revenue recognition, and matching principles.  Examine the financial statement and notes..

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  In its first year of operations cope company earned 28000

in its first year of operations cope company earned 28000 in service revenue 6000 of which was on account and still

  A predetermined overhead rate is based on direct

a predetermined overhead rate is based on direct labor-hours to apply manufacturing overhead to jobs. for a particular

  Problem related to accountants recommendation

Do you concur with the new accountant's recommendation? Present a schedule to support your answer.

  Compute each of the following operating income income loss

the hot aire company reported the following items on its income statement for2007.a. net operating revenues 956000b.

  In two to three paragraphs describe the sarbanes-oxley act

in two to three paragraphs describe the sarbanes-oxley act and why it is important to the accounting profession.name

  Cash acquisition price and the carrying amount of the debt

When convertible debt is retired by the issuer, any material difference between the cash acquisition price and the carrying amount of the debt should be ??

  Market rate for the bond-interest paid semiannually

What is the value of a Northern Pacific bond with an 11 percent coupon, maturing in 15 years? Assume the market rate for this bond is 14 percent and that the interest is paid semiannually.

  Payback period of the investment

Hull Inc. is considering the acquisition of equipment that costs $200,000 and has a useful life of 6 years with no salvage value. The incremental net cash flows that would be generated by the equipment are:payback period of this investment

  Dec 31 recorded depreciation on the remaining truck it has

transactions for fixed assets including salethe following transactions adjusting entries and closing entries were

  Determininig discriminatory hiring practices

An audit client is being sued for $500,000 for discriminatory hiring practices. Indicate the appropriate action the auditor should take for each of the following independent responses to the letter of audit inquiry:

  Assume that lisa has voluntary withholdings of 40 in

during the first week of january liesl grady earned 600. assume that fica taxes are 7.65 percent of wages up to 50000

  Hooks and franklin are in the process of liquidating their

hooks and franklin are in the process of liquidating their partnership. they share profits and losses in a ratio of 31.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd