Reference no: EM13256549
The following information concerns the Dormnat Company, which manafactures one product and uses astandard cost system.
Standard cost per unit:
Material:3 liters @ Rs2 Rs6
Directlabor:2hrs @ Rs8 16
Variable factory overhead: 2hrs @ Rs3 6
Fixed factory overhead: 2hrs @ Rs2 4
Rs 32
Other data:
Actual production: 11,000units
Material purchased: 50,000 liters @Rs 1.9; purchases are recorded at standard cost
Direct labor (23,000 hours): Rs1,93,200
Factory overhead: Rs1,03,000
Normal capacity:10,000 units or20,000 direct labour hours
Material used: 35,000liters
You are required to calculate two variances each for material, labor
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: The following information concerns the Dormnat Company, which manafactures one product and uses astandard cost system.
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