Direct labor cost, According to the standards, what direct

Direct labor cost

Assignment Help Financial Accounting

Reference no: EM13916874

SkyChefs, Inc., prepares in-flight meals for a number of major airlines. One of the company's products is grilled salmon in dill sauce with baby new potatoes and spring vegetables. During the most recent week, the company prepared 4,000 of these meals using 750 direct labor-hours. The company paid these direct labor workers a total of $6,000 for this work, or $8.00 per hour.

According to the standard cost card for this meal, it should require 0.20 direct labor-hours at a cost of $7.00 per hour.

Required:

1. According to the standards, what direct labor cost should have been incurred to prepare 4,000 meals? How much does this differ from the actual direct labor cost?

2. Break down the difference computed in (1) above into a labor rate variance and a labor efficiency variance.

Reference no: EM13916874

Questions Cloud

Scientific notation to perform the following operations : A computer can do one calculation in 1.4X10^-7 seconds. How long would it take the computer to do a trillion (10^12) calculations? Use scientific notation to solve the problem. Round to one decimal place

What tools project managers can use to deal with evolution : Because projects differ from the ongoing operations of a firm, managing them presents a new set of challenges. What are some tools project managers can use to deal with this evolution?

What is the probability that stock goes up on monday : If stock return was positive on Monday, what is the probability of stock going up on Tuesday? What is the probability that stock goes up on Monday, Tuesday and Wednesday and goes down on Thursday and Friday

What other options do you have in dealing with such coworker : What other options do you have in dealing with such a coworker? Consider whether your answer would change if the offender were your boss.

Direct labor cost : According to the standards, what direct labor cost should have been incurred to prepare 4,000 meals? How much does this differ from the actual direct labor cost?

Discuss the use of assessment tools in online learning : Discuss the use of assessment tools in online learning. What should teachers consider when choosing a particular assessment tool? Which would would recommend and why?

Deployment and post implementation plan : For this application you could either use a laptop or a computer. There are many options to getting the hardware necessary for the application. One option is to buy an all-in-one desktop which includes all the computer hardware, another option wou..

Ratio of the person-time incidence : What is the ratio of the person-time incidence (or incidence density) of prostate cancer in fixed night shift to the person-time incidence of prostate cancer in Daytime workers?

What suggestions could you make for remedying the problems : Based on what you have learned in this chapter, describe several broad principles that could be applied in helping the individuals involved understand what went wrong in the following events. What suggestions could you make for remedying the probl..

User Account

All Pages