To manufacture its main product, a firm requires a standard of 10 direct labor hours per unit.
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To manufacture its main product, a firm requires a standard of 10 direct labor hours per unit. The standard labor rate is \($20\) per hour. The product requires a standard of 25 kilograms of material. The standard price of materials is \($5\) per kilogram. The actual production of 100 units uses 900 direct labor hours at a total direct labor cost of \($16,200\) and 2,300 kilograms of material at a total direct material cost of \($9,200\) .
Calculate all of the direct labor and material variances.
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Related Book For
Management Accounting In A Dynamic Environment
ISBN: 9780415839020
1st Edition
Authors: Cheryl S McWatters, Jerold L Zimmerman
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